How does the business operate on a daily basis?
The owner is not in the business everyday.
He is in contact with the staff but his reception lady / front of house, opens and closes.
She has been with the business for over 8 years.

How are the clients attracted to the business?
Word of mouth, online presence, google search.

What competition exists?
Only one other tool hire in town

Is the business VAT Registered?
Yes

Are there up-to-date Management Accounts available?
We have a set of management accounts, compiled by the owner, that reflect the main business income and expenses.
All are verifiable during the due diligence.

What Balance Sheet and Income Statements are available?
Financial Statements are available but does not relfect the position of the businesses.

What percentage of the business is cash/credit?
Cash 80%
Credit 20%

How could the profitability of the business be improved?
More marketing
Looking for longer termed clients
Expanding product offering

Is Seller finance available and for what amount?
No

What is the total staff complement?
4

Give a breakdown of staff/ functions/ length of service?
Admin Manager 8 years
Shop Manager/ Mechanic 20 years
General Labourer 2 years
Driver - newly appointed

Do any receive special perks or incentives?
No

Do any have management potential?
Yes

How involved is the Owner in running the business?
The owner isn't involved in the day-to-day running.
He goes into the business as and when needed, perhaps 5 hrs per week

When does the current lease end?
5 year lease started August 2026

Is there an option of renewal & what period?
Yes - 5 years

What is the annual escalation %?
8 %

What are the trading hours?
7 - 5pm Mon - Fri

What is the square meters of the business?
250

Is a copy of the lease available?
Yes

What lease deposit and/or other surety is required?
1 month deposit

What are the main assets of the business?
Tools & equipment as oer asset list.

Are any items not included in the sale?
No

What is their overall condition?
80 % new
20 % good condition

Do any require repairing?
No, repair and maintenance on a daily basis

How have they been valued ?
Current Market value

Which assets are on lease/HP and with whom?
Mahindra 2025 - Wesbank.
We left the installment in as an expense for the seller to take over.

What are their settlement amounts?
R125,000

Will Seller settle or Buyer to take over?
Can negotiate

Are copies of agreements available?
Yes

Are they presently insured?
Yes

Strengths?
Well-established and trusted business with more than 20 years of trading history.
Strong reputation and loyal customer base built over decades.
Deep relationships with local contractors, farmers, municipalities, and DIY customers.
Proven demand for services and recurring revenue from repeat customers.
Local market knowledge creates a barrier for new competitors.

Weaknesses?
Limited population size restricts growth potential.
Revenue may be influenced by seasonal construction and agricultural activity.
Smaller economies of scale compared to national tool hire chains.

Opportunities?
Expand the fleet into higher-margin specialist equipment.
Increase sales of consumables, PPE, gas, power tools, and related products.
Secure long-term rental agreements with contractors, farms, and local government.
Use digital marketing and social media to attract new customers.
Benefit from ongoing property development, maintenance, and infrastructure projects in the region.

Threats?
Entry of larger competitors or franchise operators into the area.
Rising equipment replacement costs and inflation.
Theft, damage, or non-return of hired equipment.
Economic downturns affecting construction and agricultural spending.
Changes in technology making existing equipment obsolete.

What is the reason for the sale?
To spend more time at other business

Why is this a good business?
A long-established tool hire business in a small Overberg town offers a rare combination of stability, trusted community relationships, and recurring demand.

Its longevity demonstrates resilience through multiple economic cycles, making it an attractive investment opportunity, particularly where the equipment fleet is well maintained and there is potential to expand services and product offerings.