Business for sale in WA , PERTH
Retail/Wholesale Fruit and Veg Gourmet Deli, Convienence Store
Advert Id : 18750
Location: WA
- PERTH -Denmark
Category: Convenience Stores
Financial summary
Asking Price: $299,000
Sales revenue: $1,000,000
Net profit: $100,000
Furniture/Fixtures value: $200,000
Inventory/Stock value: $40,000
Sales revenue: $1,000,000
Net profit: $100,000
Furniture/Fixtures value: $200,000
Inventory/Stock value: $40,000
Business description
“The company The Grocery List PTY LTD was created by Michael in (2009) when a retail manager decided that big city life wasn’t the way he wanted to grow his family and future.
“The quest took him on a search far and wide and he discovered that to find that perfect mix of home and work life was a country town/community based place that could provide that.”
“He had visited the small country town of Denmark in south west WA several times and this seemed to be the best place to start looking.”
Noakes store was a 220sqm general store on Strickland Street next door the Denmark`s award winning bakery, opposite the town`s department store, pharmacy and on the same road as all the major banks and post office- a retailers dream as he explained, “every major people puller in one street that are shopped daily”..
The store is a town icon in a heritage listed building with reputation that is second to none, so Michael decided to buy the business from the current owner Doug Noakes who had owned it since the mid 80`s,
After completion of the purchase he started low key renovations to get through the busy tourist season (November to May) painting, remodelling, sanding the solid jarrah floors and improving the stock with wise purchasing to increase margin.
New livery was introduced in December 2010 and The Grocery List was born into the Denmark community with branded signage, uniform, signed delivery van and consistent advertising to give the store a corporate feel, this was received very well and sales and margin increased at a steady pace.
The retail side of the business was steadily improving month on month, with margin and sales growth coupled with increased customer numbers, add this with a better understanding of the store and improved training of the staff the store was running under very little management input.
Wholesale fruit and vegetables was accounting for approximately 30% of the business, this has since been increased to 50% by clear advertising emphasizing “The Grocery List” brand, coupled with first class produce and excellent customer service.
The wholesale business was catering for Cafe`s, restaurants, winery’s and hotels in Denmark and Walpole.
Michael, took it upon himself to grow the wholesale by introducing standard procedures for customers and staff that streamlined the process involved in delivering a wholesale solution to the masses, this enabled more wholesale customers to be brought into the business and new towns added to the delivery area, Mt Barker and Albany have recently jumped on board with 12 new customers since June 2011.as well as adding more Denmark businesses and catering company’s to the portfolio.
Non Denmark Deliveries are outsourced to courier companies to offset the cost of staff and fuel/cost, this has proved to be a valuable tool for creating new business as the couriers do a lot of work on the ground on your behalf.
Renovations to the wholesale area in June 2011 encompassed a new packing are with touch screen tills for easy invoicing at the time of packing, a new manager and admin area, new washable floor and walls, a stock holding area for completed orders, cool room upgrade and dedicated air conditioner for wholesale.
· 2 new fruit and vegetable display counters
· 1 reconditioned open face 3.5m dairy fridge
· 1 reconditioned front opening refrigerated deli counter
· New SSA deli scales- direct input into Profit track
· 8 new front of shop display bin, on wheels for easy movement
· 35x1m bays Caem shop shelving – imported from Italy – it’s the best there is
· 12 new book case shelves for gourmet stock display
· 2 new air conditioning units
· Entire shop has brand new lighting
· Brand new electrical mains and heavy duty cable for extra load capacity
· Professionally painted inside and out
· Jarrah floors stripped and sealed
· New plastic trays, kick stools, matting valued at over $7000
· New CCTV with DVR for security and liability cover, 32inc shop floor display
· 4 speaker music system and amp to provide atmosphere
· New external signage
· New solid wood shop front and doors in keeping with the heritage listing of the building
· New coca cola/Jones soda/Browne’s Milk fridges
· New state of the art commercial kitchen installed, zero waste as meals are prepared on the premises and sold fresh or frozen using product/stock close to the end of its retail shelf life
POS profit track from SSA
Instant retail sales and instant invoicing for wholesale customers
· Account customer now emailed statement weekly at the click of a button
· GP analysis instantly
· Full touch screen POS and Wholesale back office
· Easy invoice entry
· Direct host updates from IGAD/Metcash
· Fast prices for easy department updates
· End of day management for Cash reconciliation and reporting
· GST report for BAS
· Dept sales for easy Monthly Figures
· Full stock on hand instantly
· GST stock valuation figures instantly
· Non GST stock valuation figures instantly
· Full integration to PDE for easy ordering
· Shelf and promotion ticketing system with sales attached
· Deals and specials integration at POS
· Host Catalogue with 29,000 lines included for download
· Customer reporting for sales and purchasing
· PDE stocktaking management facility
· Register Keyboard management – from Back office
· Barcode printing for account cards
General Information
Year established: 1985
Employees: 2 full time 6 part time
Trading Hours:7-7 7 days a week
Employees: 2 full time 6 part time
Trading Hours:7-7 7 days a week
Other Information
Realocatable: all brand new equipment, pc`s fridges, delivery van, cctv, scales, eftpos, deli counter, shelving, laptop, store room, full kitchenReal Estate: Rented- private lease 210sqm fully renovated excellent condition, double shop fronts
Competition: 1 SUPA IGA, 1 IGA X-PRESS , both out of the main high street
Expansion: Wholesale expansion is possible, retail expansion is possible
Support Traning: Full SSA POS system, full training provided by current owner
Reason Selling: Travel plans before the family get to old- see the world
Lease Terms: 9 years remaining on lease rent $2177 pcm CPI only increases