Business For Sale. Clothing, Design And Boutique - Limpopo (lp)

The business is running for 22 years under current management. It was founded by the owner and managed by her for the full period. The business is operated from the owner's house. A new suitable site for the business must be found. The ideal spot for this type of business will typically be in a busy mall at a prominent corner site where a full view of the garments on exhibition on two sides will be possible.
The owner reached an age where she feels it is time to retire and sell to a suitable person that can take the business to the next levels.
The core business is designing and production of exclusive wedding dresses and evening garments, as well as garments fir matrick farewells. A wide variety is in stock and leased or sold to customers. Customers collect items themselves and when brought back, each items is inspected, washed and ironed to be ready for the next customer.
All production is done on the premises by well trained staff that is one of the most valuable assets of the business.
The market is wide as Lammie Modes provides for brides, mothers of the brides as well as evening dresses and garments for matric farewell parties.Turnover is not constant but comes to an average of R32800 pm with nett profit of R 10267 and GP of 91%. Takings are mostly cash.The total of 300 garments is made up by 50% wedding and 50% evening dresses.
The business is one of its kind in Polokwane and actually in Limpopo. Clients from all over the province, Gauteng and even abroad buys from it. The name and brand is well known for its quality.
Sales and rentals should be boosted by at least 50% when the proper site is found for the business. The present owner is ready to assist the new owner as consultant, on terms and conditions to be agreed upon. The suitable entrepreneur that is committed and dedicated to this type of business, will benefit from a well established name and be able to explore and capitalise on the possibilities of more product lines, new nice markets to serve and wider visibility in potential markets.
In terms of general valuation practises, the asked price may seem a bit higher than expected. If the accounting practises followed by the accountant are taken into account (writing of all personal expenses against the business) as well as the established and trusted brand/name that is to be acquired, the conclusion is that the asking price is justified. Garments on hand for leasing and selling are worth R 700 000. When the potential for growth is taken into account, the investment should be save and very rewarding. The business has a trusted name in Limpopo and Gauteng that was built over years.
Innovative designers with their finger on the pulse of trends in the fashion world, and looking for a opportunity to get a kick start in the industry, can use this business as the vehicle to reach their dreams.