ABC BUSINESS

WELCOME

Steve Smith AREINZ
Managing Director

Spring has well and truly arrived. The weather is noticeably warmer, the spring flowers are blooming, and people everywhere seem to be smiling. The media also seem to be in good spirits with more positive stories, especially around the improving global economies.

We have just completed an extremely buoyant quarter with sales well ahead of the corresponding period last year. This was despite the so called recession and due, in no small part, to our very effective marketing strategies.

If you wish to exit your business, possibly to coincide with the holiday season, now is the time to have a discussion with one of our experienced brokers. We are especially short of manufacturing businesses and have many qualified buyers in the $500,000 - $2,000,000 range.

Regards,

Steve Smith AREINZ
MANAGING DIRECTOR

THE TEDDY FACTORY

Fully Managed Investment Returning $200,000+ P.A.

Overview

The Teddy Factory operates stores in Christchurch and Auckland, both fully staffed and managed. They provide excellent cash flow and profitability and a sound base from which to expand into other areas. The master rights for New Zealand include comprehensive franchise documents as part of a realistic growth strategy. The business shows current profits in excess of $200,000 per annum with the owner’s input as a very part-time administrator.

This unique business caters for a growing and discerning market which is looking for not just good personalised products but a great experience. This is the wonderful new interactive, exciting concept of making and personalising your own teddies or animals!

Operations

The Teddy Factory is a magical place where customers make their own plush teddy bears and animals, from choosing the ‘skin’ to stuffing, dressing and vocalising their furry friend, and actually bringing them to life. Shoppers are part of this unique, creative experience which also includes a floppy Panda Bear, Furry Pony, a lovely soft white curly Lamb, classic Australian icons such as the Koala and a beautiful floppy Kangaroo.

There’s something for everyone... from toddlers to Grannies, everyone adores the experience!

The Teddy Factory also hold the most wonderful and unique parties for any age group. Each party has its own special Party Host to help the Guests have a great time cele-bear-ating any event. Birthday Parties, Baby Showers, Scouts, School Groups or any BEAR-Y special occasion. Party prices start at $25 per child.

The business utilises the best of retail concepts: personalised products; generation targeting; a unique experience and interactive entertainment.

Summary

The Teddy Factory is in a growth phase and a new owner should be able to build on the platform that the present owners have created. The vendors are offering for sale the full NZ rights as well as the two existing outlets as going concerns. This includes comprehensive store fit-outs and all equipment with a depreciated book value of $360,000.

Asking Price

Tangible Assets $360,000.00
Intangible Assets $265,000.00

Total Asking Price $625,000.00 Plus Stock (approx $150,000)

Contact Chris Welch 09 630 1600, 0275 741 966

Ref: 21533

Click here to learn more

WHAT DO BUYERS LOOK FOR?

Richie Lowe AREINZ

We understand that most business buyers are first time buyers and as such are very cautious. Their motivation is generally for security and employment and there advisors play it very safe. Business sellers need to be aware of this and present their businesses for sale in such a way as to make any prospective buyer comfortable. If you wish to maximize your sale then here are a few ideas;

Price the business right – an experienced broker can give you a range of values, making an allowance for the premium buyer
Have up-to-date financials – to prove profits and show trends
Have a complete list of Plant and Equipment – what is being sold with the business
Tenancy / lease agreements – Buyers need secure tenancies
Identify your Intangible Assets – Buyers need to be aware of what they are as they don’t appear in the Balance Sheet
Have a good reason for selling – why are you selling such
a “good” business
Presentation – having your premises looking great goes a long way
Use a business broker who will appraise, market and negotiate the sale

Richie Lowe is General Manager of Affiliated Business Consultants Ltd (ABC) and Immediate Past Chairman of the Business Brokers Division of the Real Estate Institute of New Zealand..