History and Overview Of The Business
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Fully describe the business's activities |
This audit firm has longstanding clients that are serviced by the seller and his staff. He is able to travel regularly locally as a result. The staff continues with normal day to day tasks and the owner does the high end consulting work. |
When was the business established? |
1999 |
How long has the owner had the business? |
Seller started it |
How Does The Business Operate
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How does the business operate on a daily basis |
The owner oversees the operation. He has a senior staff member standing in when he is away. The staff does the work and the owner reviews it |
How are the clients attracted to the business? |
Word Of Mouth |
What Advertising/Marketing is carried out? |
Word Of Mouth |
Does the business have any contract work? |
Regular monthly clients |
What competition exists? |
Normal competition for the industry
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Seasonal Trends? |
There is a bit of more work to complete during tax season. Jan and February with annual year ends are obviously busier. August for the provisional tax is also busier |
Financial Information
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Vat Registered? |
Yes |
Vat Documentation on File? |
Yes, current and available. |
Management Accounts? |
Yes |
Audited Financials? |
Yes, 2017 |
What as Cash/Credit Split? |
Terms of 30 days |
Debtors Book Age Analisys |
Current 30%, 30 Days 25%, 60 days 19% and 90 Days 26% |
How can you improve the profitability? |
Expand the client base |
Is Seller Finance available and if so what is it? |
Yes, in line with selling accounting practices the seller will accept a 50% cash payment and subject to a proper handover and turnover warranty the balance over a 24 month period to an APPROVED buyer. A structured deal will thus be considered. Please note the seller will not extend this option unless certain guarantees are in place. |
Staffing Of the Business
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What is the total number of Staff? |
4 staff members that exclude the owner. |
Staff Special Perks and Bonuses? |
The senior has an incentive to invoice and collect in the same month, details will be disclosed by the Seller |
Are the staff on Contract? |
Yes |
Does any of the staff have management potential? |
One act as the senior |
How involved is the Owner in running the business? |
Overseeing the clients with staff doing the work and reviewing the work done. |
Premises Of the Business
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When Does the Current Lease ends? |
Operated from the sellers house. You will have to relocate. IMPORTANT is that the best for the clients, that visit the seller from time to time for consultation, will be to be in the area from Centurion to the Northern Suburbs of Johannesburg.
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Is there an option to renew? |
You may operate from the Sellers premises for a while; this will ensure that you get to have minimum disruption for staff and clients during the handover. |
What is the annual escalation % |
N/A |
What are the Trading Hours? |
Office Hours |
What is the square meters? |
80m2 currently |
Is a copy of the lease available? |
Yes, on file |
Do You require a license? |
You will have to be registered with IRBA |
Assets Of The Business
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Full Asset List available? |
Yes, will be provided. You are buying the Clients & Going Concern. |
Anything not included in the sale? |
You are buying the Clients & Going Concern.
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What is condition of the assets |
Good |
Any Assets on Lease/HP that Buyer needs to take over? |
No |
Are they insured at the moment? |
Yes |
SWOT Of The Business
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STRENGHTS |
Loyal, regular, distributed and diverse clients
Staffed with senior productive staff
Established Pretoria/Johannesburg clients
Profitable and productive staff |
WEAKNESSES |
None Perceived
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OPPORTUNITIES |
Absorb these clients into your own practice for immediate benefit and cost savings
Expand the base |
THREATS |
None Perceived
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Summary
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Why is this a good business |
Client Retention with the seller's exit strategy, the staff members remaining, profitable. Audit clients in Pretoria and Johannesburg are in high demand, this is a very good opportunity. |
Why is the owner selling it? |
The owner is putting his exit strategy into operation and will relocate full time to his property at the coast over time
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