Leading Manufacturer & Supplier Of Water Purification Equipment | | Undisclosed Surrey | | Leading Manufacturer & Supplier of Water Purification Equipment Confidentially offered for sale Ref. no: AI008 Location: Surrey but re-locatable Asking price: £2,000,000 + | | BUSINESS FOR SALE ADVERT DETAILS ADVERT NUMBER : 60405
ADVERT IMPRESSIONS : 4,605 TIME(S) | | | | BUSINESS SECTOR: | Manufacturing / Engineering | | TRADE TYPE: | Food & Drink Manufacturing | | SALE: | Agent Sale | LEASEHOLD: | £2000000 | | | | | | | | | | Add this business advert to your: | | | | | | | | | | | | | | | BUSINESS DETAILS: | Business profile:
Established for nearly twenty years, this business is one of the UK’s leading designers, manufacturers and suppliers of water purification equipment and accessories in the UK. From its Head Office in Surrey, this business designs and manufactures a range of equipment for the commercial sector that utilises a variety of water purification techniques to produce pure water for some of the biggest Hotels, Health Authorities, Universities, Hospitals and major Corporations in the country.
Approximately thirty per cent of the turnover of this business arises from the installation of new equipment. The water available from nature is rarely perfectly suitable for drinking or for meeting the various requirements of the industrial sector. Every system therefore is designed to meet the Client’s specific needs. Supplied either in the form of a stand-alone unit – as generally found in a laboratory environment or as a complete water treatment system, such as those used in hospitals or various sectors of industry the equipment supplied by this business produces pure water in quantities ranging from a few litres per hour through to complete industrial water treatment plants using many thousands times that volume.
This business’s expertise doesn’t just end with installation, however, with nearly three quarters of its turnover arising from a broad range of preventative maintenance programmes, each one again devised to meet specific Client needs and developed using the wealth of experience this business has built up over the years of its operation within all aspects of the many commercial and industrial sectors in which it has worked. Its team of highly skilled and experienced Mobile Service Engineers, fully trained in even the most sophisticated of water purification testing techniques, are always on hand to ensure a consistent supply of quality water is always maintained. Working either with its own equipment or equally prepared to install equipment supplied from alternative sources, all systems are designed to be fully scaleable where practical, so that they can change as a Client’s water purification needs change.
Not surprisingly for one of the major players in this sector, quality is at the core of every aspect of this business’s operation. This business provides advice and support throughout the process of meeting a customer’s water purification needs. Many of the projects this business secures do not reach the competitive tendering stage – testament to the excellent service this business offers and its excellent reputation within the industry. Within competitive tenders this business wins far more than it loses!
With turnover for the financial year ending June 2010 of £1.858M, a good solid Client base, very healthy gross and net margins and a very strong Balance Sheet this is an excellent opportunity to acquire a very well run and very well established business operating in a ‘needs driven’ sector with excellent prospects for future growth.
Key strengths:
The Owners of this business have over seventy years of combined experience of the water treatment industry. Not surprisingly with such a wealth of experience this is a very well run business confident in its knowledge of the marketplace, the products available and how best to match the products available together with its services to meet Client needs.
This business selects the Clients it wishes to work with rather than the other way round. It has an enviable Client list broaching both the Public and Private sectors including some of the biggest names in Hotels, Health Care and Education. Projects range from just a few thousand pounds all the way up to £100,000 +.
Although it picks up many projects prior to tendering stage its success rate at competitive tender is very impressive and it is almost unheard of for this business not to pick up the Service Contract following one of its installations. Once Clients have enjoyed the level of service offered by this business they very rarely go elsewhere. On the contrary some of the most lucrative contracts this business currently has have arisen from very small beginnings – the changing of water softener tablets for example.
Perhaps the greatest strength this business has however is its people. This is very much a people oriented organisation. As well as being highly trained, the employees of this organisation are highly motivated to deliver the levels of service that sets this business apart from the competition.
Key opportunities:
This business is currently working to a self-determined capacity. Although it has embarked upon an expansion plan taking on additional staff the rate at which this is being achieved is proving insufficient to outstrip the demand placed upon it by its ever-increasing customer base. Consequently this business has a list of Business development prospects that largely remains untapped because of insufficient manpower to follow them up or to service them should they develop into real business.
There can be no doubt that new Owners with more of an inclination to increase turnover and profitability could do so simply by building on the excellent foundations laid by the current owners of the business. Simply by operating within existing market sectors, by leveraging the considerable reputation this business has built up within these sectors and by assiduously following up leads that are subsequently generated turnover and profitability could be significantly enhanced.
Customer Service:
Not surprisingly in the water treatment sector, quality is at the core of every aspect of this business’s operation - whether installing, servicing, modifying or upgrading water treatment plant. This business works closely with all of its Clients to do everything possible to enhance its excellent reputation providing a personal, thorough, efficient and friendly service.
This business has a team of expert, highly skilled Service Engineers and offers that most important commodity - reliability. Offering value for money as well as a dedication to customer satisfaction, it has attracted and continues to attract new referrals and maintain an extensive base of very satisfied customers.
Advertising and Marketing:
Working at the full extent of its current capacity, apart from a well designed and easy to navigate web-site this business does little or no advertising or marketing whatsoever, relying on the strong word of mouth recommendation it enjoys within the industry.
Having been established within the industry for nearly twenty years, its name is very well established and its excellent reputation for competitive prices and high levels of Customer Service are sufficient to ensure that it consistently appears high on lists of companies invited to tender.
Premises:
Located in the centre of a bustling commercial town in the heart of Surrey this business operates from well-suited premises of approximately 8,000 square feet consisting of very well furnished office and workshop accommodation.
The premises offer easy access to Central London and the rest of the UK via the M25 and the national motorway network.
Employees:
The two owners of the business are responsible for the day to day management of the business supported by one other employee in an Administrative capacity. A team of nine Service Engineers (including two Juniors) are out in the field undertaking the installation, servicing, modifying and upgrading of all types of water treatment plant.
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.
Turnover for the financial year ending June 2010 was approximately £1.858M greeting gross profits of £1.12M and a net operating profit of £342.5K after Directors remunerations in excess of £90,000, depreciation of £28.6K, a loss on disposal of £3.6K and unusual bad debts of £21.0K
The current Owners expect to achieve a sale price in excess of £2M for a 100% sale of the shares in the business based on a Balance Sheet value in excess of £160,000 to exclude the freehold property.
Reason for Sale:
Having worked in the business for twenty years or and built the business up to its considerable current size one of the current Owners of the business wishes to retire.
Support and Training:
The current owners of the business will provide full business familiarisation, training and handover to ensure a smooth transition to new owners as appropriate. One of the current Owners could be available for a period of up to 5 years in a full time capacity if required, subject to negotiation.
| | | | | | FOR SALE | | | | | REFERENCE: | AI008 / RightBiz | | | | | | Request more information about this business.. | | ENQUIRIES: | | | | CONTACT SELLER TO GET THE SELLERS DIRECT CONTACT DETAILS AVAILABLE TO MEMBERS ONLY | | | | | | | | | | | |
