History and Overview Of The Business
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| Fully describe the business's activities |
Full function accounting practice operating in Cape Town with clients spread over the area. Hands on owners emigrating. Ideal for a new entrant or someone expanding their practice. |
| When was the business established? |
2015 |
| How long has the owner had the business? |
The current owner started the business in 2015 |
How Does The Business Operate
|
| How does the business operate on a daily basis |
The owner operates the practice, from capturing information, submissions to SARS |
| How are the clients attracted to the business? |
Word Of Mouth |
| What Advertising/Marketing is carried out? |
Website, now non functional and word of mouth |
| Does the business have any contract work? |
Clients are yearly clients paying monthly while having their work is done |
| What competition exists? |
Normalotherpractices
|
| Seasonal Trends? |
Obviously busier in Tax Season |
Financial Information
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| Vat Registered? |
No |
| Vat Documentation on File? |
Not registered |
| Management Accounts? |
Yes |
| Audited Financials? |
Up to date is available |
| What as Cash/Credit Split? |
Debit order system, all accounts paid within 12 month period for cash flow. The clients agree to a budget for the work to be done in the year and then pay monthly |
| Debtors Book Age Analysis |
Clients receive one INVOICE for the year but pay that off over a 12 month period. Only had one missed payment in the last 3 months and in this case the client paid immediatly after the mistake was made. Have proof in documentation off all this. |
| How can you improve the profitability? |
More clients and additional staff |
| 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 hand over and turnover warranty the balance after a 6 to 12 month period to an APPROVED buyer. A structured deal will thus be considered. |
Staffing Of the Business
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| What is the total number of Staff? |
1 staff member that will not stay at end of the sale, family of the seller |
| Staff Breakdown |
N/A |
| Staff Special Perks and Bonuses? |
No |
| Are the staff on Contract? |
No |
| Does any of the staff have management potential? |
N/A |
| How involved is the Owner in running the business? |
Hands On owner operated practice |
Premises Of the Business
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| When Does the Current Lease ends? |
N/A Home based practice |
| Is there an option to renew? |
NA |
| What is the annual escalation % |
N/A |
| What are the Trading Hours? |
Mon - Fri 08:00 - 17.00
|
| What is the square meters? |
N/A |
| Is a copy of the lease available? |
N/A |
| Do You require a license? |
You will have to be registered one of the Accounting bodies ie SAIPA |
Assets Of The Business
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| Full Asset List available? |
The Client Base
Small items, like 2 laptops, filling cabinets and other small |
| Anything not included in the sale? |
No, everything is included |
| What is condition of the assets |
Good, none needs repairing |
| Any Assets on Lease/HP that Buyer needs to take over? |
Printer with Toshiba |
| Are they insured at the moment? |
Yes |
SWOT Of The Business
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| STRENGHTS |
|
| WEAKNESSES |
As they specialise in small businesses the clients become extremely dependent on them
|
| OPPORTUNITIES |
The trust part of the business can be explored some more. There is a huge market for trust and the business has build up valuable contacts at SARS and the Trust offices in Cape Town |
| THREATS |
None identified
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Summary
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| Why is this a good |
The practice has built up a huge amount of respect with their clients and have a loyal client base. Very little issues with payments and most clients allows you to work on their accounts with very little queries. The clients are loyal and will stay hence the client warranty offered. |
| Why is the owner selling it? |
Owners emigrating
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