Net Surplus: $ 377,846 EBIT (Ave FY06-12)
Contact: Tabak Administrator
Office: Auckland

Our client has the exclusive merchandising rights to a series of highly recognisable and inspirational brands. They design, develop, import, and market these innovative product ranges throughout New Zealand, while retaining the international distribution rights.

Our client's entrepreneurial approach to merchandising allows them to connect people with the brands they love. As a result, the company has experienced solid growth over the past 5 years, with new opportunities looking to propel the business even further.

The prospective purchaser now has a unique opportunity to capitalise on this success.

Company Highlights

· Competitive advantage with key sporting & lifestyle brands;

· Strong financial returns and long-term sustainable growth opportunities;

· Strong relationships with key stakeholders; and

· Highly regarded and credible entrepreneurial company.

Growth Opportunities

· Expansion into international territories;

· Rugby World Cup 2011;

· Improve terms of trade with key customers;

· Structural changes, resulting in increased Gross Profit;

· Maximise rights of new licensing agreement;

· Acquire further licenses synergetic to current business; and

· Expand licenses and product categories into key retailers.

Cornerstone Partnership Opportunity

An opportunity has now arisen to purchase a cornerstone share in this exciting business. The size and the nature of the shareholding will be negotiated with prospective partners and valued on a pro rata basis.

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Net Surplus: $ 213,786 (EBPITD 31/3/09) Plant Value: $ 201,202 (31/3/09)
Contact: Tabak Administrator
Office: Auckland

Be part of Auckland’s Infrastructure upgrade

In a very short time, this business has built an enviable reputation by completing a number of high profile projects in Auckland and its surrounding areas. The business is ideally placed to expand its operations; as they have all the necessary qualifications, accreditations and staff to compete in this growing sector.  Furthermore, it offers a real “turn-around” opportunity for a new owner.

Historically the company performed significantly better than it has in recent years; with an EBPITD of $1,220, 376 in the 2006 financial year.

This reduction can be attributed to two key factors:  Firstly, to a change in focus from the owner, who in recent times started to pursue other interest and consequently have prioritised that over the business. Secondly, a change in focus from the business and a failure to meet the market.

Due to the upcoming Rugby World Cup, and more importantly, the Governmental Rescue package, vast amounts of funding are being made available for infrastructure enhancements, maintenance and additions. This provides a very real opportunity to turn this business around.

The Owner is a Mechanical Engineer and prior to setting up this business, had never operated in the infrastructure sector. All relevant and required expertise has been contracted into the business on an “as needed” basis. A new owner would ideally have interest in engineering, but ultimately experience and/or interest in winning tenders with Government and Local bodies would add most value.

In order to operate in this market, a business is required to be pre-approved and accredited.  This creates barriers to new entrants and limits competition.

The Owner willing to provide the required levels of Vendor Assistance to ensure a seamless transition.

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Net Surplus: $360,000 EBIT
Contact: John Parker
Office: Hamilton

Hamilton

Formed in 1997, this Waikato based company provides cost effective solutions to management and operational problems, specialising in compliance management.  The company has a broad national client base, covering any industry with needs for technical assistance with hazardous substances, quality, environmental and safety compliance and best practice.  The company works regularly within the chemical industry, and has gained a significant reputation for the work they do.

The business has a broad client base, and has a large amount of clients that it services on a regular basis to maintain their levels of compliance.  This repeat work is secure; without the input of this business their clients could not operate as the service supplied is an operational requirement, not a choice.  This ongoing work is completed on either monthly, quarterly, half yearly or on a yearly basis which ensures good cashflow.

The technical knowledge and experience within the employees is extremely high.  The owner has established a solid foundation to this business but recognises it requires a person with business management skills to steer the business going forward.

The current employee structure has both the experience and technical knowledge to continue operating the business efficiently, with the current owner prepared to work with the new owner going forward.  The team's commitment and loyalty to the business and what it stands for is unquestionable.

There has been considerable investment in staff and systems over the last twelve months.  These investments are just starting to show good returns which will enhance the EBIT going forward.

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Net Surplus: $257,368 EBIT
Contact: John Parker
Office: Hamilton

Can be operated from anywhere in New Zealand

Highlights

·  Growing turnover/profit year on year

·  Extremely successful business offering a market proven service

·  Simple to understand business with excellent systems and processes

·  Five day a week operation, with excellent cash flow

·  Business can be operated from anywhere in the country.

This business operates an easy to understand business model and enjoys a very high level of repeat custom. It is very simple to operate and uses state of the art management procedures and client software systems.

Financial performance has been improving year on year and this trend looks set to continue. Services/event are paid for in full before delivery, thus cash flow is good and there is little requirement for debtor management.

The value of this successful business is made up entirely of intangible assets. This would obviously suit a purchser that fully understands the power of a service business which can produce extraordinary profits, without having your money tied up in tangible assets.

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Net Surplus: $273,500 EBPITD Net Surplus: $214,000 EBIT (Fully Managed)
Contact: Mark Begbie
Office: Waikato

Operationally Managed/Excellent Potential

Waikato Based

Situated within one hours drive from Hamilton this well established business offers a range of services to both domestic and international travellers, whether they are visiting the nearby world famous tourist attraction or are looking for a break from one of New Zealand's busiest routes. Multiple income streams mean no over-reliance on any particular facet of the business, with some exciting prospects in place for further growth. The experienced Manager is supported by skilled and experienced staff and proven systems.

The Cafe and the Restaurant offer travellers a comprehensive range of dining options. Whether it is a sit-down meal for multiple busloads of tourists/travellers or quite simply a quality coffee and shopping break, this business is the only facility in the region able to offer customers such a diverse range of options under the one roof.

The business has recently been restructured with the appointment of an overall General Manager. This has allowed the current owners to step back from the day-to-day running of the business and focus on further developing the recently refurbished Function Centre or long overdue visits to key customers both within New Zealand and overseas.

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Net Surplus: $193,313 EBPITD
Contact: Paul Brljevich
Office: Tauranga

AWARD WINNING - WATER FRONT LOCATION

The setting of this restaurant is uniquely situated on the Whakatane historic Wharf. This award winning restaurant presents an opportunity for a new owner to secure an established business with a location that is the envy of its competitors. The Wharf Shed Restaurant has been operating successfully from this site for 14 years and due to a change in personal circumstances is now being marketed for sale.

Restaurant guests have the opportunity to dine inside or out and watch the activities of the Whakatane harbour and working fishing vessels. The restaurant has recently been awarded the NZ Beef and Lamb Award for the fifth time and this is an indication of the calibre of the restaurant. Quality and service are hallmarks of this restaurant and currently there are 3 award winning chefs employed. The restaurant is primarily run by staff with the owner undertaking an administrative role.

This restaurant enjoys a varied customer base from local residents to both domestic and International Tourists. The progressive local tourism Industry in Whakatane bodes well for the future of this iconic eatery.

The current owner had no previous restaurant experience when he purchased this business and has advised that personality and administration skills are the key attributes required for this business.

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Net Surplus:
Contact: Paul Brljevich
Office: Tauranga

The Sandrock Cafe - Main Beach - Mount Maunganui

New Lease. Licenced Restaurant Opportunity

This Licensed Cafe & Restaurant represents an exceptional opportunity for an experienced restaurant owner. The Sandrock Cafe has been operating for 9 years and is located on the beachfront at Mount Maunganui which is arguably one of the best beach locations in New Zealand.

The Sandrock Cafe offers a la carte dining to its domestic and International clientele and is the only restaurant to offer evening dining which sets it apart from its competitors along this boulevard of cafe's.

The Mount Main Beach area has seen the recent completion of two large apartment complexes with no corresponding increase in the hospitality industry to cater for this increased patronage. Therein lies a great starting point for new owners to increase the current turnover and with the busy summer season starting soon the ability to introduce new menus.

The opportunity to purchase the Sandrock Cafe has arisen due to the pending retirement of the existing owner. This presents an opening for a new owner to purchase this well established business for plant and equipment with minimal goodwill. The restaurant has a strong loyal following but requires the enthusiasm of a new operator.

The landlord is prepared to negotiate a new lease with the successful operator and discuss different ways to provide a mutually beneficial outcome moving forward.

At present the restaurant has a staff of 10 including 5 chefs however this does fluctuate during the year. The current owner does not have any involvement in the preparation of the food.

There is currently one working owner who undertakes administration and overseeing of staff. An opportunity exists to become fully involved in the management or operational side of the business and create a restaurant worthy of its surroundings. Either way living and working at one of the most desirable beach locations in New Zealand with signficant growth opportunities has got to be a winner.

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Net Surplus: $432,968 EBPITD, $318,464 EBIT
Contact: Paul Brljevich
Office: Tauranga

Bay of Plenty location - Growth Opportunities

This business was started from scratch by the current owner 5 years ago. The current owners had no business experience and to their credit have built a successful business learning everything the hard way. The business now has an annual  turnover in the vicinity of $9m through their hard work and determination. They have realised the business has the potential to go further and if it is to progress it will need management outside of their skills. The products supplied go to the food industry, end users and retail who are large consumers of the products supplied.

Sales have been steady although the industry is subject to seasonal pricing fluctuations. It has been identified that the lack of a sales rep in the Auckland area has been detrimental to the business and this position has recently been re-filled. It is expected that the new salesperson will provide contacts to a range of summer products that the business has previously not had access to. This should provide an opportunity to increase turnover in these areas on previous years. 

The business has a very small staff with 1 sales rep, a storeman plus the owner. The owners wife attends to administration duties on a part time basis.

A new owner would require management, administration and/or sales experience. The current owner is prepared to stay on in the business as an employee for an extended period to ensure a smooth transition.

The owner enjoys the industry but is looking to exit the business for personal  reasons and to allow his wife to cease her involvement in the business.

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Net Surplus: $95,683 (3 year average) EBPITD
Contact: Jack Carroll
Office: Hawke’s Bay

High Profile Brand

Solid Financial Performance

This business has been in operation in the Hawke’s Bay since 1985 and in this time the business has built significant brand awareness amongst a diverse customer base.

The business services the flat glass and mirror market, glass doors as well as automotive glass repairs. They service a range of customers from retail stores, domestic customers, insurance repairs, and some commercial work.

The business employs 7 staff including 1 working owner. The current working owner is focused on running the business and is not involved in glazing work. The business is ideally suited to a working owner with managerial skills; the current owner does not have glazing skills.

This is an ideal business for someone who is looking for a sound financial, stable business with a great brand profile in the region and opportunities for growth through additional marketing and sales

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Net Surplus: $123,806 (2009 FY) EBPITD
Contact: Jack Carroll
Office: Wellington

This Jewellery store became an independent outlet in January 2007 and operates from a high profile corner site in a prominent Wellington Shopping Centre with a strong catchment of repeat customers.

A key point of difference in this business is its independent status and ability to hold a wide range of product without restriction from franchisor or master supply agreements. While there is a requirement for a new owner to re-brand the store its independent status and prominent location serve as strong drivers for continued sales growth.

The business is the only Jewellery reseller in the Mall complex offering watch and jewellery repairs. The business caters for the middle segment of the watch and jewellery market and is a destination store for a wide variety of customers through out the Wellington region. Revenues are made up of a mix of 25% watch and 75% jewellery sales.

Like most businesses, the economic environment in the previous 2 years have seen difficult trading conditions however this business has experienced year on year growth in sales revenues with a corresponding increase in net profit EBPIDT.

Gross sales have grown from a relatively low base of $617,101(Inc GST) in 2007 to an average of 16% per annum driving a 15% net profit (EBPIDT) of $77,754 and $123,806 for the 2008 & 2009 periods respectively.

The current owner has worked the 7 day week business for 5 years and he now wishes to spend more time with his young family.

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Net Surplus: $121,821 (09 FY) $135,440 (08 FY) EBPITD
Contact: Jack Carroll
Office: Wellington

Fully Managed Nightclub & Bar

Passive Income

This fully managed Central City Night Club provides an opportunity for a passive investment which currently generates cash sales of $19,000 per week. It is located in the hub of Wellington's entertainment district and has built a strong reputation among a repeat customer base. The venue incorporates a versatile, multi-function area with a wide street frontage capturing a growing passing trade while an upstairs mezzanine area provides an ideal private functions facility with an outdoor balcony.
A long term lease is in place with security of tenure to 2024 and a current rental of $2,900 per week (+ GST). With a management and staff structure in place, together with food and entertainment outsourced to external providers, this business can be run with a reduced owner input.

The nightclub serves food, beer, wine and spirits with a liquor license allowing trade to 6 am. The business operates under an outlet support agreement with Lion Nathan with an independent supplier providing wood-fired pizzas cooked on-site. Its main customers are students from the nearby campuses of Victoria and Massey Universities in addition to its main passing trade which occurs from Thursday to Saturday.

The business' peak revenues coincide with start of the academic year around February and March. Net profit EBPITD for the 2009 financial year was $121,821 (after management expenses) from revenues of $868,442 (+ GST).

There are opportunities to grow the revenues and profit by driving the private function business, promoting events, as well as extending into daytime trading hours

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Net Surplus: $635,000 (Average over 5 years) EBIT
Contact: Jack Carroll
Office: Wellington

Major Player in the Region

Considerable upside for a purchaser

This business has been a leader and has an enviable reputation in its field for over 30 years. They provide earthmoving and general contracting services to a range of clients from private individuals, commercial developers and city and regional councils. They have been involved in some of the regions high profile work and have a very strong reputation for delivery of complex large scale contracts on time and within budget. They have a tremendous array of specialized equipment which is well maintained and in good condition. Their reputation coupled with their size and scale provides them with a competitive advantage in the industry.

The business performs earthmoving and general contracting work to a range of customers from Regional and Local councils, to engineering firms to private developers. The majority of their work is obtained through tender. Their scale, track record and reputation assists with winning this tender work as well as putting them in a position to obtain work outside the tender process. The business also has a number of contracts for work required on a regular periodic basis.

The 2009 financial year has been a difficult year for the contracting industry. The business has a strong pipeline of committed and tendered work for the remainder of the year and signs are positive for future work in the industry with a number of large scale projects planned. The business employs 19 staff and 1 working owner. The majority of the staff have been with the business for a long time. The business maintains a modern fleet of earthmoving plant and equipment which provides capacity for large scale projects. The current market value of this plant and equipment is estimated at $1,700,000. As part of the sale process the plant and equipment will be valued and an agreed price negotiated.

 The EBIT performance of the business reflects the current market and in previous years has been considerably higher. The sale price of the business reflects the average performance over the past 5 years; hence there is considerable upside for a purchaser when the contracting market improves. There are signs of this already happening.

 The sale price of the business is based on:

Asset Market Value $1,700,000 to be determined under due diligence

Intangible value $1,200,000

Total Sale Price $2,900,000

The owner is nearing the age of retirement and looking to exit the business. After a suitable handover period the owner is open to working on a consultancy basis to assist the new owner in pricing and tendering for work on a part time basis if required.

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Net Surplus: $100,000 (projected (2010)) $114,770 (2009) & $114,253 (2008)
Contact: Damien Fahey
Office: Christchurch

Established High Profile Site - Exclusive Product Lines

The business has been operating from its current "high foot traffic" site for almost ten years, and has just renewed its lease at very competitive rates. Sales are over $600k + GST per annum with gross profit just shy of an "ideal" 40%, and the target market is 25-40 year old male/female. Business improvement opportunities will result from the energy of a new owner-operator on the shop floor; leveraging off the marketing investment that has been made to date; growing the VIP customer base; developing a wholesale market opportunity; reviewing stock control; and enjoying the higher profile shop-front that has been negotiated in the new lease.

The business enjoys regional exclusivity for well recognised leading brands, a significant barrier to entry. The customers are from the mid to upper end of the market, throughout the lower South Island. They are people looking for style, quality, design inspired products at good prices. The store is really well known in the Queenstown Region and has a strong brand profile.

The last 12 months have probably been the toughest in retail that NZ has experienced for many years, and yet the business generated nearly $115k in "owners income" in both the 2008 and 2009 financial years. Customer (and economist) confidence is on the rise and a new owner can take advantage of a modest entry cost and significantly grow the profits of this business.

There are around 12-15 transactions per day averaging $140 each and allowance has been made for a working owner - plus an additional 42 hours on the shop floor by a FT or 2 x PT sales people, as the business is seven day trading. The business performance reflects the quality of its brand and the products that the business represents.

After seven years, the owner wishes to pursue other interests.

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Net Surplus: $230,560 EBIT
Contact: Damien Fahey
Office: Christchurch

Positive Weekly Cashflow; Modest Owner Input; No Staff

When evaluating this Christchurch business opportunity the following attributes were considered favourably:

• Only 10-20 hours input a week is required by the owner
• No specialist skills required, but customer service and business development experience would be helpful
• No staff, only contractors
• Strong positive cashflow of $15k to $30k per month; no working capital required
• Subscription business model; semi-passive income
• Sunrise industry;niche market
• Several different revenue streams
• Unique location and strategic alliance
• Low overheads
• Recently renewed lease

This business has operated successfully within its niche market for ten years, and continues to grow both top and bottom lines. The "subscription model" ensures there is a strong "passive income" component to the revenue, and the only skills required of a part-time owner would be customer service and perhaps business development. Presitage, exclusivity and luxury are all words that can rightfully be associated with this business.

The business will be attractive to a purchaser who does not necessarily want a 40 hr per week role; nor "world domination". There is definitely room for growth but the strength of the business is its positive cash flows and the attractive ROI that it generates, year after year after year.... Due to the high level of intangible assets a purchaser may require up to 50% of the purchase price in cash, with the balance possibly secured against other assets.

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Net Surplus: $310,000 EBPITD FY 07/08, $340,000 EBPITD FY 08/09, $350,000 EBPITD FY 09/10 est.
Contact: Sam Williamson
Office: Christchurch

Recession Proof & Rewarding!

This business is top class and the best of its breed in Blenheim. With annual sales of $1m + GST it outperforms its peers and returns a healthy 30% to its owner. YTD sales continue to grow compared to the same time last year, and further improvement can be accommodated by way of database marketing, improved stock control and perhaps even a "bit of a makeover"

The store has a wide range of brands exclusive to its region that ensures a high level of repeat (and referral) business from its existing customers. Access to these brands is a tangible "barrier to entry", as is its membership of the largest buying group within its industry.

Experienced staff are in place, eliminating the risk of any personal good will, with the owner focusing "on the business" rather than "in it". Structural processes range from the sales systems & collateral used by the staff, through to back-end industry-specific software that provides reporting across a wide range of variables.

The owner has other business interests, commitments to family elsewhere in NZ, and is simply looking to free up time. The buyer will enjoy retail, "live & breathe" customer services, "lead their troops" and most importantly, enjoy the finer things in life..

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Net Surplus: $164,789 EBIT (after allowing $100k salary for current owner)
Contact: Damien Fahey
Office: Christchurch

An ideal way to enter the South Island market

This South Island based business has grown consistently and is now invoicing $400k + GST per annum in direct work (no invoicing of "marked up" outsourced services). The business has a current base of 40+ active clients and provides services to more than a dozen quality "heartland" clients.

There are significant and identified opportunities to increase the scope of services provided to the current client base; plus additional resource will enable the acquisition of additional clients. Currently new business is not being actively pursued, it virtually happens "by default" although the owner is so busy with existing clients, opportunities are being lost. Rather than add staff and grow the business within its current product mix, the owner believes existing clients would be better served by an alliance with a larger agency and new opportunities can then be undertaken.

This also represents a unique opportunity for a North Island agency to align themselves with some very large (and loyal) South Island manufacturers; primary sector processors and educational service providers.

Although an internationally experienced graphic designer in their own right the Owner's passion is business development and account management, and they continue to see themselves in this role going forward, but under the umbrella of a larger entity. Having an industry investor would also provide some additional mentoring and "mental horsepower" that will enable the business to step up another level.

Just having money is insufficient. The owner of this business requires an investor who can genuinely "add value" to their clients, and is a company that the owner would be proud to be associated with as the two parties will need to work closely together going forward. The owner accepts that a high level of personal goodwill attaches to themselves and is prepared to look at a number of ways in which a transaction could be structured. This could include outright purchase; part purchase; outright purchase with earn-out or balloon payments; whatever works for both parties...

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