General Builder New Build Extensions Renovations Refurbishment And Maintenance | | Undisclosed East Sussex | | General builder - new build, extensions, renovations, refurbishment and maintenance with a particular presence in the schools and ecclesiastical sectors Ref.GB163 Location East Sussex Asking Price £125,000 | | BUSINESS FOR SALE ADVERT DETAILS ADVERT NUMBER : 57368
ADVERT IMPRESSIONS : 9,637 TIME(S) | | | | BUSINESS SECTOR: | Building / Construction | | TRADE TYPE: | Builders | | SALE: | Agent Sale | LEASEHOLD: | £125000 | | | | | | | | | | Add this business advert to your: | | | | | | | | | | | | | | | BUSINESS DETAILS: | Business profile:
A well-respected construction company, this business has established an excellent reputation within the local marketplace in which it operates, based upon nearly thirty years of successful trading. It carries out all manner of works within a twenty to twenty five mile radius of its base on the East Sussex coast including new build, extensions, renovations and refurbishments as well as smaller maintenance jobs which are taken care of by this business’s teams of highly skilled, sub contract tradesmen. As a Tier 1 Local Authority Approved contractor for two Authorities, the business works primarily in the schools and ecclesiastical sectors whilst winning more than its own fair share of domestic and commercial projects.
High quality workmanship and finishing together with reliability and competitive pricing means the services of this business are always in demand with many Clients considering this business to be ‘their builder’. Repeat work and its steady stream of referrals are such that this business frequently has little need to look outside its existing customer base for work.
The Owners of the business, a Husband and wife team working Project Management and administrative roles respectively draw on numerous contacts in the sub-contractors field, across the full spectrum of trades to fulfil contracts with many working almost exclusively for this business. All are highly skilled and well qualified to ensure they are capable of completing the tasks in hand. The business is CHAS (The Contractors Health and Safety Assessment Scheme) registered and is also very close to being Constructionline registered.
Large enough to cope but small enough to care could easily be the motto of this business. It is careful to manage the expectations of its Clients, involving them as much as possible throughout the length of the project. As a result this company has an excellent reputation for delivering on time and to budget with any problems dealt with promptly and always to the customer’s satisfaction. With some Clients with very large and valuable properties it is an approach that pays significant dividends with regular on-going work.
With a annual turnover of approximately £640,000, generating gross profits of over £130,000 and pre-tax net operating profits in excess of £70,000, this is an excellent opportunity for an existing building contractor to acquire a well established general builder with a healthy level of turnover and profitability or for a new entrant into the marketplace to establish a foothold in the sector, via the acquisition of a thriving building operation with a significant, loyal and on-going Client base.
Key strengths:
Although on the Approved Contractor Lists for two major Local Authorities and therefore potentially involved in very large projects, this business believes in providing a high level of personal service. Such is its reputation amongst its existing customer base that it receives work simply because it’s there and there is always someone on hand to answer the telephone. This business doesn’t just set out to match expectations but to exceed them. All staff are reliable, highly skilled and experienced providing an excellent finish to all projects. The business has an excellent reputation for being approachable and accommodating with all staff required to be polite and friendly, constantly striving to minimize the upheaval their work is causing the Client. This business simply delivers what the customer wants, involving them closely throughout the project to ensure completion on time and on budget. As a result it has a loyal and satisfied customer base which returns time and time again – ensuring this business has work stretching months ahead at any one time.
This business is quite diverse in the range of services it provides and prides itself on being responsive and its ability to adapt to suit the customer’s exact requirements. Whilst it has a proven track record in small works, it is equally as comfortable with far larger projects. This flexible approach ensures this business is never reliant on winning any one particular contract or the revenues coming in from any one particular Client since cashflows consistently arrive from many different directions simultaneously.
Key opportunities:
There is an outstanding opportunity to build on the existing services and customer base of this company. With a strong demand for its services combined with a capacity to increase turnover, a new owner contributing fresh ideas and investment in resources will have every advantage of building on an excellent platform.
This business maintains an extensive base of satisfied clientele who appreciate excellent workmanship and high levels of service. The vast majority of work comes from existing relationships and there are many opportunities for further growth from sales to new customers, which the existing Company management has chosen not to pursue due to current workloads and a desire to maintain high levels of personal service on existing projects. Such has been the workload to date that the business has had little opportunity to follow up the quotations it makes – additional work that could easily be secured with a little negotiation. The business could also leverage its Local Authority Approved Contractor status and its excellent reputation in the schools and ecclesiastical sectors to approach new customers to expand its turnover in these areas. This could easily be addressed by strengthening the business through the recruitment of additional Contracts/Projects Managers.
The company has done little or no marketing in the past relying on strong word of mouth recommendations to generate additional business. More assertive marketing and promotion within the appropriate market sectors could secure an even larger slice of the local market particularly in the more general domestic and commercial sectors.
Employees:
The Owners, a husband and wife team are responsible for the day-to-day management of the business operating in Project management and administrative roles respectively, supported by a part-time secretary. The business calls upon a large portfolio of twenty five or so sub-contractors across all trades from which it selects on a regular basis, to suit the nature of the project in hand.
Premises:
This business operates from premises of approximately 1,000 square feet which were acquired by the current Owners of the business in 2007. The premises are used as office and storage.
Plant and equipment:
The business maintains a range of plant and equipment as would be expected from a business of this size and stature operating with sub contract tradesmen.
Marketing and advertising:
This business has invested little in marketing or advertising recently being able to rely on the most cost effective form of marketing, word of mouth recommendation combined with repeat business from existing customers.
The business also has a well designed and informative website that performs very well in all the major search engines for all appropriate search terms.
Financial information:
The business is 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 owners operate both a limited company and a partnership concurrently. For the financial year ending December 2009, turnover for the Limited company was approximately £124,000 generating a gross profit of £28,500 and a pre-tax net operating profit of almost £23,000.
For the financial year ending March 2010, the Partnership accounts show a turnover of £516,000 generating a gross profit of £103,500 and a pre-tax net operating profit of £47,200.
The Asking Price of £125,000 is for a sale of the combined assets and goodwill in the business with assets valued in the region of £20,000.
Reason for sale:
This is a genuine retirement sale.
Support and training:
The current owners will provide all necessary training and all relevant contacts to ensure a smooth transfer of the business to new ownership.
| | | | | | FOR SALE | | | | | REFERENCE: | GB163 / RightBiz | | | | | | Request more information about this business.. | | ENQUIRIES: | | | | CONTACT SELLER TO GET THE SELLERS DIRECT CONTACT DETAILS AVAILABLE TO MEMBERS ONLY | | | | | | | | | | | |
