How does the business operate on a daily basis?
The owner typical receive incoming calls or messages from clients wanting a skip for a certain number of days.
He then interacts with his staff and move skips around as to accommodate the clients needs.

The staff has their daily routes in which they service the bins and take them to the respective dumps to empty.

Daily operations for a skip hire business include:
• dispatching and collecting skip bins with towing/skip bakkies,
• scheduling, routing and customer communications,
• invoicing and debtor management,
• maintenance of vehicles/trailers, and
• compliance with waste handling rules.

How are the clients attracted to the business?
Mostly via word of mouth, a small online presence but their historical presence in the area, makes them one of a few suppliers.
The seller has a niche in which he operates which will be discussed to serious buyers.

What Advertising/Marketing is carried out?
The business is visible in the public domain.
They do not have a website or facebook page.

Does the business have any contract work?
Yes. They have regular longstanding placements, although not in contractual form with various farms and businesses.
They also have a tender in place with a local municipality until June 2028.

What competition exists?
There is one competitor but this businesses cannot provide the niche products that the business for sale has.

Is the business VAT Registered?
Yes

What VAT documentation is on file?
To be provided during a DD

Are there up-to-date Management Accounts available?
Yes - YTD Management Accounts and AFS 2025 period.

What percentage of the business is cash/credit?
Approx 15 % Cash

How could the profitability of the business be improved?
Routing & utilization: reduce fuel per job through better scheduling; improve bin turnaround. (Fuel is one of the largest line items.)
Pricing discipline / surcharge model: formalize fuel surcharges for longer hauls and peak demand periods.
Debtor control: receivables are meaningful; tighten credit terms and collections.
Purchase more skips

Is Seller finance available and for what amount?
No

What are the main assets of the business?
Skips - aprox 103
Vehicles x 5
Trailers x 4

Asset List on File

Are any items not included in the sale?
No

What is their overall condition?
Vehicles are fairly new - some still on HP.
Buyers to take over

How have they been valued ?
Fairmarket replacement value
New skips between R 8k - R 12k

Which assets are on lease/HP and with whom?
2 Trailers has been finances
3 Vehicles is under Finance

What are their settlement amounts?
To be confirmed during a DD

Will Seller settle or Buyer to take over?
Buyer to purchase the Members Interest, thus take over all HP Agreements / Liabilities

Are they presently insured?
Yes

Strengths?
• Established operator: Registered 2009 and currently “In Business,” indicating longevity and market presence
• Asset base / capacity: 103 skips plus trailers and vehicles support operational scale.
• Cash Business
• Public presence: Local listings identify the service and provide contact points, supporting inbound enquiries.

Weaknesses?
• Thus growth is limited to the amount of skips you have
• High operating cost sensitivity: Fuel, wages, maintenance and insurance are significant
• Public “ratings” visibility is limited

Opportunities?
• Optimize fleet utilization + routing: direct lever to reduce fuel spend and improve margin.
• Add complementary services: rubble removal/mini skip, builder packages, long term site bins, and business contracts.
• Brand & review development: actively collect Google/Facebook reviews and improve online conversion

Threats?
• Cost inflation risk: fuel and maintenance inflation can materially impact bottom line
• Competitive local market: multiple waste removal providers operate in regions like the Cape Winelands; pricing pressure is common.
• Regulatory/compliance risk: waste handling, dumping site fees, and municipal permitting can affect operating cost and turnaround times

What is the reason for the sale?
The owner has reach a cashflow position where he is comfortable.
To grow the business, he has to incur further capital to grow the amount of skips, a trailer and another vehicle.

Why is this a good business?
• Long-established skip hire operator with a meaningful skip fleet.
• Revenue growth for the period shown indicate trading activity and an operating footprint.
• Opportunity exists to improve profitability via utilization, pricing, maintenance planning and debt optimization, given the current cost structure and finance costs.