Location: London
Asking Price: £140,000 + net assets
Business highlights include:
Turnover: circa £260,000 (2023 accounts)
Gross profit: circa £200,000
EBIT: circa £70,000 (Before drawings)
Very well established since 2011
Sustainable long-term profit margins
Excellent reputation
Motivated, trusted staff
Excellent client relationships
Regular contracts & general cleaning contracts
Handover and training
Goodwill
Business Profile:
This very successful commercial cleaning company has enjoyed sustained growth since inception and has developed into a trusted and respected cleaning company partner for clients in its busy part of London. This growth trend is expected to continue as the company’s reputation goes from strength to strength.
The business specialises in providing all cleaning requirements for offices, public buildings, and retail premises throughout the region, and it has all the necessary knowledge, training, and equipment to provide the most comprehensive cleaning and on-going programmes to its clients.
The company has been in business since 2011 with a well-established reputation within the industry with whom it has a particular reputation and many regular, repeat clients covering offices, schools, hotels, and retail premises.
The business is well structured with an excellent trading history and repeat client base, with regular & continuous invitations to tender received on a daily or weekly basis from within the construction/new build sector.
The owner has been running the company from a home office, and as an ever-growing business, he believes that there is huge growth potential for a more motivated owner.
The business is profitable with no bad debts and offers a highly competitive cleaning service, though at no sacrifice for margin, and the business will often accept a new client that had previously contracted another company but had not found the same consideration for service and reliability.
The company is fully conversant with all current legislation and guidelines relating to health, safety, and quality. The company has excellent internal procedures and policies that are backed up by the company’s impressive range of accreditations and registrations that ensure a high quality of service and treatment, both for customers and employees.
Equipment:
All the necessary equipment is in place that is required to run a successful operation.
A full inventory of the equipment is available to all genuinely interested parties.
Customer Service:
This business provides quality services at highly competitive rates and clients receive a professional and efficient service with clear, timely communication, a listening approach and site visits as a priority.
All staff hold CSCS, SSSTS supervisor and fully trained; this is endorsed through the company’s association memberships, including:
· DBS-checked staff
· BICS standards
· Acclaim
Key Strengths:
The company has been developed so it can cater for a diverse range of clients. The infrastructure is in place, including staff, systems, facilities, knowledge, experience and associations. Because of this, the company is able to offer a consistently high level of service and has built up an impressive reputation. This is evident in the impressive financial figures it has posted and continues to post. The many strengths of this business include:
· Maintainable margins
· Regular customer base with long-term relationships
· The business name and its reputation
· Loyal, long-term employees
· Growth pattern and future opportunities in the sectors it serves
Attention to detail and a friendly yet professional approach by all personnel are two of the main factors for the success of the business, as is speed of response and the ability to provide suitable solutions for a variety of different scenarios as and when they arise. The comprehensive service that it provides ensures that the business maintains and continues to grow its already impressive customer base and remains among the best available in the region’s commercial cleaning sector.
The business has strong relationships with both its suppliers and customers and views them as partners. This is demonstrated by the excellent profitability and reliability of supply that it enjoys.
Growth and Expansion:
The business currently operates on a regional scale, and there is huge scope for expansion, with many more opportunities to take up tenders than the current owners care to.
With a more proactive sales and marketing function and website, a new owner could significantly increase revenues and turnover within the business, both with existing and new clients.
Advertising and Marketing:
The business enjoys high levels of repeat business, word-of-mouth recommendations, and referrals but could benefit from a more strategic medium- or long-term sales and marketing campaign.
Employees:
The vendors have put in place a highly experienced and reliable team, including:
7x part-time staff: cleaners, CSCS card-holders and a SSSTS supervisor
Flexible part-time self-employed cleaners
Business Hours:
Offices 8-5 Monday to Friday
Operatives as required
Premises:
There are no premises for sale with this business, as it is fully relocatable.
Financial Information:
The business is being offered for sale on a going concern basis; all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
From the 2023 year-end accounts:
Turnover: circa £260,000 (2023 accounts)
Gross profit: circa £200,000
EBIT: circa £70,000 (Before drawings)
Net assets: circa £100
Asking Price:
The asking price of £140,000, including net assets, is for 100% of the issued capital of the company, assuming net assets of circa £100 on completion (calculated on a zero cash-zero debt basis). The final selling price will have a £1 for £1 adjustment for any rise or fall in this benchmark net asset figure at completion.
Reasons for Sale:
The vendor wishes to follow new areas of interest.
Support and Training:
The vendors are happy to provide a comprehensive handover to ensure a smooth, seamless takeover and are prepared to stay on for a further period as consultants if so required by the new owner.
