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Mobile Phone Contracts Reseller
Advert Id: 56440, Sellers Ref: (SMSB/MOBCO)Location:Derbyshire, East Midlands
Category:Business Services
Asking Price:£99,500
- Sales revenue : £240,000
- Net profit : £50,000
- Furniture/Fixtures value : Undisclosed
- Inventory/Stock value : Undisclosed
Business description
The business was founded by the current owner about 15 years ago and acts as a mobile phone reseller, currently manages around 400 clients and 1200 live connections. It targets small businesses requiring 1 to 5 handsets and succeeds by focusing on high levels of customer service, something often lacking in the mobile sector, and consequently enjoys longstanding relationships with clients.
Revenues are generated at the point of sale of a new 12 or 24 month mobile phone contract and then ongoing over the life of the contract, dependent on the bills generated by the particular mobile phone connection.
Currently the business is run as a lifestyle business, with 1 employee in addition to the vendor, who manages much of the administration and who would like to remain with the business. The vendor typically works around 18 -20 hours per week, with a focus on retention of existing clients, rather than trying to actively grow the client base.
Turnover is consistent since the vast majority is generated by renewals of existing contracts, and hence the forecast for the current year is similar to the prior year, with sales of c. £240k, delivering earnings before owner drawings of around £50k. The vendor is fulfilling a care role with increasing time demands and is therefore marketing the business for sale. The guide price for 100% shares is £99,500 to include a debt free cash free balance sheet with a positive net asset value.
The vendor will provide an appropriate handover to ensure the technical aspects of the business are well understood.
Other Information
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