Melbourne, Victoria 3000
National Retail Franchise - Melbourne - EBITDA $1,211,499 (2020)
For Sale | $6,250,000
This first class retail business located in Melbourne Victoria is one of the Franchise leading outlets. The business has been largely unaffected by the Covid-19 pandemic and continues to show strong annual growth.
Company Share sale of 100% shareholding of incorporated structure
The price of AUD $6.25 million approximates a 25% ROI when related to the conservatively projected 2021 EBITDA.
New Favorable Franchise Agreement: The successful incoming Franchisee will be granted a new 10 year Franchise Agreement.
New premises: The new site is a large superbly designed special purpose building, with over 100 car park spaces and high visibility. The new store boasts 2,000 square metres of display floor abetted by 200 square metre of upstairs offices and training/meeting rooms.
Staff: The fifteen highly trained and competent core staff will remain with the business. The exiting Franchisee will be available for 12 months or more as a consultant to the successful incoming Franchisee.
Lease Term: The current 2 x 10 lease term (4 years to run on the first term) will be adjusted to a new 2 x 10 year to match the term of the new Franchise Agreement and accommodate any likely extension or roll-over.
Performance: The store has long demonstrated a stable 11-12% annual revenue growth rate.
The store's EBITDA has remained a consistent 10-12% of Gross Revenue.
* Est turnover 2021: $12 Million
* Est Maintainable EBITDA: $1.32 Million
* Est R.O.I 25.0%
* Adjusted shareholders net equity as of 30th June 2020 $1,000,000
* Value of operational Goodwill $5,250,000
Price $6.25 million (depending on net assets at the sale)
A comprehensive Business Information Memorandum is available to qualified parties after completing our confidentiality agreement using this link https://forms.gle/DZgmYAqRem7M6p6KA