Manufacturing Business For Sale

Business description

Comments:
An extremely interesting and lucrative business with enormous scope for expansion. The business manufactures soft ice cream and slush and sells along with other associated products to kiosks, either franchised or owned and to other retail outlets. There is much scope for expansion both in Mallorca and the other Balearic Islands. Fully equipped leased warehouse and offices and 2 delivery vehicles included.

Current Operation:
This a very interesting and exiting business proposition indeed. The company was originally formed in 1996 selling soft ice cream from 2 kiosks in the north of Mallorca. The company has been developed extensively from those beginnings and recently has taken over its own ice cream and slush producing company. The company now supplies soft ice cream, slush and related products to its owned kiosks located on prime sites in the south west of the island and to about 50 island wide retail outlets. It still retains its supply to the original kiosks that operate on a concessionary basis. The company operates from a warehouse with complete office facilities on a mezzanine floor, a cleaning and production area, a workshop area and a 24 metre high storage area. Water purification facilities have recently been installed. Delivery is made using a Mercedes Sprinter van purchased in 2001 and a smaller Seat Terra van. Assets of the company include 5 mobile lockable ice cream kiosks, 3 mobile carts, all production plant, dispensing equipment both for kiosks and retail outlets along with publicity and promotional material, full office equipment, tools, machine spare parts, transportation boxes and everything else that makes it a complete turnkey operation. The company owns a variety of brand logos, exclusive rights to sell products throughout the whole of the Balearic Isles, contracts and agreements with the commissioned kiosks and with the sites for the owned kiosks. Supplier contacts and discount terms for bulk supply have been tightly negotiated and a list of sites for placement of further kiosks will all be supplied to new owners. The current owner will be available to assist with the transfer of the business, introduction to suppliers and customers and any necessary training.

Notes:
Here is a very exciting opportunity indeed with almost limitless expansion potential. The business is very well run and organised having been developed massively by its current owner and is correspondingly very lucrative. The fixed assets themselves represent considerable tangible value and the business is a genuine turnkey operation. Training and hand over assistance will be provided to ensure an easy start for new owners.

Premises Dimensions:
Inside: 180 Sq. metres

Finance:
Sales of approximately 274,000 Euros were reported for the year 2004 and, with the incorporation of the manufacturing company and significant growth of supply to retail outlets, are anticipated to be significantly higher in 2005. The fixed assets of the company are valued at some 150,000 Euros and the warehouse rent is low for its size. Rents are negotiated individually for the kiosk sites but each site has proven its individual profitability. The company has been priced so as to be affordable at its present size whereas if the current owner were to further develop the trade to the next anticipated level of income of 500,000 Euros per annum it could be priced out of reach of the general investor.

Rent:
£500 per month

Asking Price:
€233550

Property information

Real Estate:

Lease

Location:

The warehouse premises are located on a major industrial estate just outside Palma and close to the motorway network giving easy access to all Mallorca’s major holiday resorts. There are two concessionary kiosks sited in Porto de Alcudia on the north coast and 5 owned kiosks, one of which is permanently sited, spread around the major resorts of Mallorca’s south west. The company also supplies to approximately 50 retail outlets spread around the island.

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