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BUSINESS REFERENCE : CQ081 / RightBiz AWARD WINNING, CREATIVE, UNISEX, INDEPENDENT HAIR SALON | | | | | | Award Winning, Creative, Unisex, Independent Hair Salon in Prime Retail Location Confidentially offered for sale Ref No: CQ081 Location: Preston City Centre, Lancashire Asking price: £110,000 + SAV | | | BUSINESS LOCATION: | Undisclosed Relocatable UNITED KINGDOM | | BUSINESS SECTOR: | Services | | TRADE TYPE: | Hairdressers Hairdressing Salon | | SALE: | Agent Sale | LEASEHOLD: | £110000 | | | | | | | | | | | BUSINESS DETAILS: | Business Profile:
This young and dynamic business was set up in 2005 and has quickly established itself as one of the prominent independent hair salons in the city providing a consistently high quality of service and product to a wide ranging client base. In a relatively short period of time the business has grown its client base to an already impressive level through quality of delivery and some imaginative sales and marketing. This is already a very well managed and successful business offering the highest quality hair treatments. Ideally positioned in one of the most popular shopping areas of the city the owners have invested considerably both in terms of time and money in ensuring the image of the company is right for the market it serves. The current owners have invested some £30,000 within the salon on the best equipment, staff training and fixtures and fittings to ensure clients aspirations are completely fulfilled. This investment is already being repaid by the very impressive levels of referrals and repeat business the salon enjoys and the high levels of free PR it receives. In fact, everything about this business suggests an organization that is far bigger than it really is – from the stylish, tasteful décor of the salon, its size and location and the talent and creativity of its hair stylists right through to its overwhelming commitment to customer care.
This business attracts a fairly wide ranging unisex customer base, located as it is with relatively little competition for such a large catchment area. The location was deliberately chosen for its significant footfall and diversity of clients. In saying that the majority of clients are females(some 75% as against 25% male customers) within the 18-50 years old bracket. The business already has a client database of some 6500 satisfied customers and currently services around 130 clients a week. The salon is of such a size that it can easily accommodate the continued growth pattern it is currently enjoying.
This business has a loyal client base and offers all of the standard services you would expect of such a dynamic business with creative cutting, tinting, high-lights, low-lights, colouring, foils, wraps, perming and hair straightening all available. The salon only uses market leading products and treatments including both the TiGi and Schwarzkopf brands. The business is also very focussed on health and safety and the salon is very clinical in its approach to this ensuring all staff are fully trained in all necessary areas. This is further fuelled by the company’s membership of The National Hairdressers Federation.
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With current turnover for this year expected to be £200,000 with very high gross profit margins being achieved, this business has already achieved significant market share in a relatively short period of time. There is no reason why this growth should not continue in the future with new clients being attracted along with existing customers staying loyal due to the superb levels of attention and service they enjoy. Client retention is further cemented through the use of loyalty cards. This business represents an excellent investment opportunity for someone looking for a young dynamic business with the infrastructure already in place to fuel future growth and success.
Equipment:
The salon was professionally fitted out less than 2 years ago and has all the relevent high quality equipment you would expect of a high profile city centre salon. It currently has eleven well equipped stations within the salon with further room for expansion if need be.
Customer Service:
It is perhaps in customer care where this business really excels with an excellent reputation for customer service. This business follows the most stringent standards of controls concerning professionalism, training, hygiene, cleanliness and image. It is dedicated to efficiency of service and customer care, aiming to exceed expectations at every visit. All its staff are trained to the very highest standards ensuring that each and every Client gets everything they need from their visit. Right from the initial consultation, this business provides the highest quality service, leaving the Client safe in the knowledge they are in expert hands and ensuring they leave the salon having experienced the ultimate in hair treatment. This level of service has been further highlighted with the salon receiving excellent ratings and free publicity in “Hair” magazine who conducted their own salon spy ratings on the business.
Key Strengths:
· Location
· Footfall
· Reputation- 5 Star Rating in “Good Salon Guide”
· Calibre and training of staff
· Consistency and quality of service
· Marketing- 2007 Marketing Initiatives Award
· Health & Safety Award 2006
This business has selected this location very carefully. It is superbly positioned in a prime retail location guaranteeing high levels of customer awareness and footfall. With excellent parking facilities and situated amongst an extensive and wide ranging retail offering, this salon is very conveniently located for its customers.
Growth and Expansion:
The current market for this business's services is growing in line with the city’s profile and investment strategy which is forecast in the near and longer term for significant growth. The business is well positioned to take maximum advantage of this growth as it occurs.
The salon is extremely spacious and there is ample room to expand the operation if need be. There are currently eleven hair stations all on the same floor and this could easily be expanded to incorporate more if need be on the same floor or even to expand upstairs is so required. This expansion could be within the hair market or the business could easily expand it’s portfolio of offerings to incorporate complementary beauty therapies. It could also utilise more sales and marketing strategies to improve retail sales of hair related products and accessories with better use of its very high profile salon frontage.
Employees:
The business is currently run by the two partners of the business on a full time basis alongside 3 further full time stylists and a full time receptionist. The business also employs a part time receptionist .
Advertising and Marketing:
Located as it is in a very prominent position this business has little need of advertising. By far its most effective marketing is its location, as is its name acting as a very prominent advertising hoarding - building and maintaining awareness amongst the local target audience. In saying that the business is also very active in the local community getting involved in the various fashion shows run by the city university, not to mention joint promotions with neighbouring retailers utilising vouchers and its own loyalty card scheme
Premises:
The business operates from superb modern leasehold premises within a prime retail location in the city. The premises comprise the ground floor salon circa 1500 square feet with additional staff/ kitchen area, toilets and storage upstairs. The current lease has 8 years remaining on it.
Annual rent is £40,000 . Rates are £13,000 per annum. The premises are superbly fitted out and have excellent frontage. The business enjoys huge levels of footfall as you would expect from such a prime retail location. The location is a real strength of this business.
Business Hours:
Monday to Saturday 09 00- 17 30
Sunday 10 00- 17 00
Security:
The premises are fully secure with excellent security.
Financial Information:
The business is being offered for sale as a going concern. All financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
The business is financially stable with highly impressive growth to date, high gross and net profit and has the foundations in place to continue this success over the coming years.
Sales revenue for this financial year is circa £200,000 with gross profits of approximately £135,000.
Reason for Sale:
The current owners wish to pursue other business interests.
Support and Training
The vendors will provide all necessary training and all relevant contacts to ensure a smooth transfer of the business to new Owners. | | | | | BUSINESS STATUS: | FOR SALE | | | | | SELLER: | TURNER BUTLER | | CONTACT: | 01895 25 6000 | | REFERENCE: | CQ081 / RightBiz | | ENQUIRIES: | | | | | | | | | | | | | | | | | | | | |
