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Chicken Processing Plant And Wholesale Supply Company

Undisclosed Relocatable
Chicken Processing Plant and Wholesale Supply Company Ref.EJ047 Location South East Wales Asking Price £450,000
BUSINESS FOR SALE ADVERT DETAILS

ADVERT NUMBER : 51652
ADVERT IMPRESSIONS : 42,865 TIME(S)

 
BUSINESS SECTOR: Catering
TRADE TYPE: Other
SALE: Agent Sale

LEASEHOLD:

£450000
 

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BUSINESS DETAILS:

Business profile:
This company was originally established by a father and son team and now has been operating successfully for nearly thirty years. It has established itself as the leading supplier of chicken meat in South Wales and is also well known in the Midlands and South West.

The operation buys fresh chicken from six of the largest supplying slaughter houses who are mainly UK based. Upon arrival at the processing plant they are immediately de-boned and filleted. The meat is then either vacuum packed, gas flushed or bagged depending on the individual requirements of the customer before being stored in freezer or chill rooms prior to delivery. Nothing is wasted with the carcass being sold on to be processed into pet food.

The company does not sell to the large supermarket chains who demand fillets, breast and thighs to be of standard sizes and weights but sell to large wholesalers who in turn sell on to the catering outlets, hospitals, schools, takeaways, restaurants, hotels and retail outlets. Sixty percent of the meat consumed in the UK is chicken and there is an endless demand for the company’s service and product. Sixty five percent of the turnover is generated by six or seven large buyers with the remaining thirty five percent going to end users who have been buying from the company for many years.

Key Strengths:

• Well established with an excellent reputation for reliability, quality, service and price.
• Consistent demand with many more available customers.
• Halal sanctioned
• Massive freezer storage facility with freezer capacity of eight hundred pallets
• Financially sound
• Long serving and well trained staff
• Substantial chiller area and preparation (cutting) room
• EEC Licence (for storage and cutting)
Equipment:

A full inventory will be made available at an appropriate point in the negotiation process.

• Vac Pack Machine
• Gas Flushing Machine
• Industrial Refrigeration Units and Chiller Rooms
• Cutting tables and tools
• Four refrigerated trucks
• One refrigerated van
• One non refrigerated van
• Two fork lift trucks

Opportunities:

There is a very significant opportunity to grow this business by taking on the requests to supply that are presently being turned away. The plant and factory has the capacity to handle additional demand and a new owner may well decide to expand into other geographical locations.

The national demand for chicken is enormous and a company selling associated food products would find this business an extremely attractive proposition as its acquisition would open the door of many new customers and facilitate cross selling.

Premises:

The business operates from premises that cover approximately 14,000 sq ft. These are owned by the company. The freehold is not available but a negotiated five year lease would be available to the buyer at a monthly rent of £5000.

The building houses an internal and external loading bay, one freezer store, one cold room, one de-boning area, offices, shower rooms and changing facilities.
Marketing and Advertising:

The company has been grown to a size suitable for the requirements of the key director and is constantly turning away business. They have no need to advertise for additional trade.

Financial profile:
The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

The company generates around £5,000,000 of turnover every year with gross profits being circa £800,000. Average stock holding is around £50,000 and the assets of the business would be extremely expensive to purchase for a start up operation. EBITDA is in the region of £100,000.
Employees:

• One shareholder/director
• One administrative director
• One butchery supervisor
• One warehouse manager
• Twenty five skilled butchers
• Three drivers
Support and Training:

The owner will provide a full handover for a period to be agreed as part of the sale negotiation.
Reason for Sale:

Having established, built and run the business for over twenty years the shareholding director has decided to take early retirement.
   
  FOR SALE
   

REFERENCE:

EJ047 / RightBiz
   
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