How does the business operate on a daily basis?
The salon operates from 9.00 to 18.00 from Tuesday to Friday and from 9.00 to 15.00 on Saturday

How are the clients attracted to the business?
Word of mouth recommendations and social media advertising

What Advertising/Marketing is carried out?
Social Media Advertising

What competition exists?
There are other beauty salons in the area

What are the seasonal trends?
No significant seasonal changes are experienced

Is the business VAT Registered?
No

What VAT documentation is on file?
Invoices

Are there up-to-date Management Accounts available?
Yes

What Balance Sheet and Income Statements are available?
Yes

What percentage of the business is cash/credit?
90% - Credit and debit cards
3% - Cash
2% - EFT

How could the profitability of the business be improved?
Recruit additional staff and third party beauticians (to rent hair and nail stations)

Is Seller finance available and for what amount?
No

What is the total staff complement?
2 x Full time staff members
2 x Self-employed contract worker

Give a breakdown of staff/ functions/ length of service?
The full time staff provide facials, massages, pedicures & manicures and nail services. Their length of service details are 4.5 years and 1.5 years'
The self- employed contract worker is a hairdresser

Do any receive special perks or incentives?
The full-time staff earn a basic plus 30% commission on turnover in excess of double their basic pay.
The contract workers receive 40% of their turnover

Are they on contract?
No

Do any have management potential?
No

How involved is the Owner in running the business?
The owner is involved on a daily basis

When does the current lease end?
31 January 2025

Is there an option of renewal & what period?
The current lease end date is 31 January 2025 and will be renewed for another 2 - 3 years.

What is the annual escalation %?
6%

What are the trading hours?
Tuesday - Friday (9.00 to 18.00)
Saturday (9.00 to 15.00)
The salon is closed for two weeks over Christmas and & New Year and over the Easter weekend

What is the square meters of the business?
206 square metres

Is a copy of the lease available?
Yes

Do you require a licence?
No

What lease deposit and/or other surety is required?
A deposit of about R50 000 will be required

What are the main assets of the business?
Salon-related equipment and furniture

Are any items not included in the sale?
No

What is their overall condition?
Very good

Do any require repairing?
No

How have they been valued ?
Estimated sales value

Are they presently insured?
Yes

Strengths?
Loyal customer-base
Experienced and committed staff

Weaknesses?
None identified

Opportunities?
Increase utilisation of beauty stations
Attract business from surrounding offices and hotel

Threats?
Competition in the area

What is the reason for the sale?
The owner has other business interests that she would like to concentrate on

Why is this a good business?
This is well established, profitable beauty salon with a loyal and growing customer-base and committed and competent beauty therapists. The salon has good growth potential and prospects too.