History and Overview Of The Business
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| Fully describe the business's activities |
The practice is an accounting practice responsible for completing and submitting of statutory return, drafting of financial statements, payroll and other financial services. Full function bookkeeping, payroll, accounting and HR practice |
| When was the business established? |
Since 2011 |
| How long has the owner had the business? |
Owner had it since 2015 |
How Does The Business Operate
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| How does the business operate on a daily basis |
The staff are responsible for capturing and servicing the clients. Owner does complicated work and service the big clients |
| How are the clients attracted to the business? |
Word of mouth and social media
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| What Advertising/Marketing is carried out? |
Facebook, social media, website and SEO to get Google benefit
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| Does the business have any contract work? |
Yes, clients on a 12 month retainer contract
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| What competition exists? |
Normal competition
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| Seasonal Trends? |
Busy all year, due to retainer agreements
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Financial Information
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| Vat Registered? |
No, pending |
| Vat Documentation on File? |
N/A |
| Management Accounts? |
Yes |
| Audited Financials? |
Up to date information |
| What as Cash/Credit Split? |
Clients invoiced monthly, payment in 7 days |
| Debtors Book Age Analisys |
Varies between R100,000 and R125,000, 30 days
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| How can you improve the profitability? |
Rendering of additional services. Less personal expenses and owner doing more of the actual work |
| 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. Warranty structures also is available of the debtors, discuss with the broker. |
Staffing Of the Business
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| What is the total number of Staff? |
2 staff members |
| Staff Breakdown |
1 Clerk - 1 year service
1 Manager - 3 years service |
| Staff Special Perks and Bonuses? |
13th cheque
Commission On Sales |
| Are the staff on Contract? |
Yes |
| Does any of the staff have management potential? |
Yes, at least 1 |
| How involved is the Owner in running the business? |
From day to day hands-on |
Premises Of the Business
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| When Does the Current Lease ends? |
None, moved to operate from his house |
| Is there an option to renew? |
N/A |
| What is the annual escalation % |
N/A |
| What are the Trading Hours? |
08:30 to 16:00 5 days per week |
| What is the square meters? |
Home Based |
| Is a copy of the lease available? |
N/A |
| Do You require a license? |
SAIPA / SAIBA Accounting Practice
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Assets Of The Business
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| Full Asset List available? |
Yes, owner will provide |
| Anything not included in the sale? |
Everything is included, excluding owners personal vehicle |
| What is condition of the assets |
Good, none needs repairing |
| Any Assets on Lease/HP that Buyer needs to take over? |
None |
| Are they insured at the moment? |
Yes |
SWOT Of The Business
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| STRENGHTS |
Monthly retainer clients on a 12 month agreement
Practice is easy to run with a manager
Established 6 years
Staff ensures continuity |
| WEAKNESSES |
SME Clients
|
| OPPORTUNITIES |
Delivering of additional services
Additional R100,000 per annum in work outsourced for reviews |
| THREATS |
None identified
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Summary
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| Why is this a good business |
Well established , staffed |
| Why is the owner selling it? |
Owner is remigrating
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