"Selling your business is our business"
"Selling your business is our business"
Fully describe the business's activities?
The salon was started in 2017 by the current owner. She has run it successfully as a lifestyle business and it has supported her very well over the years. She spent R 500 000 initially decorating the shop and equipping it.
She has run it as a sole operator and never had any assistants.
The owner has not kept any financial records and although it is a very viable business, it is being sold as an asset sale.
The salon has growth potential in that an assistant can be employed to increase turnover and a Nail Bar can be introduced
How long has the business been established?
8 Years
How long has the owner had the business?
8 Years
How does the business operate on a daily basis?
Appointments are made and clients come in for various hair requirements
How are the clients attracted to the business?
Referrals
The business has a strong client base, having been in the same place for 8 years
What Advertising/Marketing is carried out?
No marketing takes place
Does the business have any contract work?
No
What competition exists?
There are other hair dressing salons in Hout Bay
What are the seasonal trends?
Busier during the summer months but not a drastic fall-off during winter.
Is the business VAT Registered?
No
Are there up-to-date Management Accounts available?
No
What Balance Sheet and Income Statements are available?
There are no financials for the business
What percentage of the business is cash/credit?
100% cash
How could the profitability of the business be improved?
By the employment of an assistant and by the introduction of a Nail Bar
Is Seller finance available and for what amount?
No
What is the total staff complement?
The owner is the only operator.
How involved is the Owner in running the business?
100% - she is alone in the salon
When does the current lease end?
August 2026
Is there an option of renewal & what period?
Yes - annually
What are the trading hours?
9am to 5pm Weekdays ; 9am to 12.30pm Saturdays
What is the square meters of the business?
40 sq metres
Is a copy of the lease available?
Yes
Do you require a licence?
No
What are the main assets of the business?
Furniture and Fittings
Basons; Hair dryers; Hairdressing instruments
Are any items not included in the sale?
No
What is their overall condition?
Very good
Do any require repairing?
No
How have they been valued ?
Fair market value
Which assets are on lease/HP and with whom?
None
Strengths?
A well entrenched business with many loyal clients
A salon that is centrally situated in iconic Hout Bay in a shopping centre on ground level with lots of parking in front of the shop.
Weaknesses?
The owner is the only hairdresser
Opportunities?
The salon has all the facilities for a second assistant hairdresser to be employed.
A Nail Bar can easily be established.
Threats?
No threats
What is the reason for the sale?
The owner is moving away from Hout Bay and is retiring.
Why is this a good business?
It is well established
Has a large client base
In an excellent position
Can be expanded by employing an assistant
