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Business for sale in United Kingdom - Af126-specialist distributor of individually wrapped own brand cakes & soft drinks

Asking Price: 650,000 £ Real Estate: Lease
Sales Revenue: 1,500,000 £
Net Profit: 1 £
Year Established: 1993
Employees: 5FT, 6PT
# of family members employed: Not Disclosed
Location criteria:
United Kingdom/County of Cheshire/Cheshire

Business types:

Retail

Business categories:

Baked goods; Food & Beverages; Other Retail Trade

Business description

this business set up by the vendor over 17 years ago specialises in the supply and distribution of single portion, individually wrapped cakes and soft drinks to the wholesale grocery and catering trade. The business has established a wide and diverse client base during this time and services clients throughout the country from its central location in cheshire. Customers include schools, hospitals, colleges, catering companies (both large and small) wholesalers and small retailers. The company currently has some 350-400 regular clients, many of whom have been with the business for many years. The business provides a prompt and efficient delivery service using its own signwritten delivery fleet. The company has set up a superb network of suppliers and works with some 10 bakeries nationwide. Because of this the business is able to offer a diverse range of high quality products that are fresh and readily available. The company has recently developed a “fairtrade” range which it expects to increase business levels still further. Products include individually wrapped cakes, biscuits, flapjacks, muffins and cookies as well as complementary products such as soft drinks and kettle crisps. All cakes sourced from the bakery are individually wrapped and have this company’s rather unique brand name ,logo and contact details on so as to ensure market exposure and brand development, not to mention protect the company’s chain of supply. Equipment: the business has a good level of infrastructure as you would expect from a company that has been trading since 1993. It utilises an off the shelf computer package to manage the business as well as sage accounting software. The warehouse has all the necessary racking and storage facilities in place to ensure stock is kept fresh. The fleet of vehicles are well maintained. All equipment, fixtures and fittings are included within the sale. Customer service: the company policy is to supply top quality products at competitive prices, whilst maintaining a high standard of delivery service. It carries a good level and range of stock to ensure it meets the requirements of its customers time and time again. It is these qualities that have enabled the business to grow successfully over the years, and to stay ahead of their competitors. Every member of staff is aware how valuable customer satisfaction is and how important it is to ensure that all produce that leaves the premises is of the highest quality. Key strengths: since it has been trading the business has developed to provide a one stop shop solution to its customers. It is rather unique in the fact that it has many wholesalers as clients as they usually like to deal direct with the manufacturers. The main reason this business can do this is that it has a wide range of quality products available, excellent buying power to maintain profit margins, good stock levels and prompt delivery services. The other reason is that the business has established several exclusive supply agreements with the bakeries which continue to ensure ongoing business growth, not to mention the fact that the majority of these suppliers are sts accredited. The business has a loyal customer base and enjoys very impressive levels of repeat business. Growth and expansion: the current market for this business is enjoying strong growth and this trend is expected to continue in the short and longer term. The business is well positioned to take maximum advantage of this growth as it occurs. Business operations are not at maximum capacity and there remains considerable scope for an increase in turnover and profit simply by gearing operations in line with current market demand. The business is constantly offering new products and its product lines increase year on year which result in larger orders being received from customers. This also entices new customers to the business. As already mentioned the business has recently introduced a fair trade range which is expected to increase sales. It is also looking to introduce cake “slabs” to its catering clients as these are much in demand and a good profit generator.

Additional information

Additional information: Not Disclosed
Support & training: The current owners would be happy to provide full training and support at handover, and would consider staying on for a further agreed period if so required, subject to negotiation.
Reasons for selling: The vendor is looking to spend more time abroad.
Financing available: Not Disclosed
Inventory / Stock value: Not Disclosed

Real Estate

Ownership: no
Lease: yes
Lease terms: Current lease is a 9 year one with 3 years reviews. Annual rent and rates are circa £38,500 p.a.
Location: The business operates from superb modern leasehold premises, ideally situated on a secure high profile business park. It is highly accessible and comprises two adjacent units with a combined area of circa 3500 square feet. There is ample parking and security grills. The estate also enjoys manned security patrols from 7pm to 7am. Current lease is a 9 year one with 3 years reviews. Annual rent and rates are circa £38,500 p.a.

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