Plumbing and Heating for sale

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On-Line Plumbing Supplies Business

  • Leasehold Price: £3,000,000
  • Annual Turnover: £3,500,000
  • Annual Gross Profit: £1,400,000
Seller Reference: GD120
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Business Description
On-Line Plumbing Supplies Business
Seller Reference: GD120
Request Details
Business Description
Introduction:
The opportunity exists to acquire, by way of a share purchase, all of the issued capital in is this on-line plumbing supply merchants (“the Business”).

The Business sells a variety of construction plastics, including plastic pipes, fittings and parts, to clients ranging from private individuals who are interested in building their own homes or doing their own renovations, to large building contractors who incorporate these plastics into their projects. Since its establishment a little over a decade ago, the Business has built, on the one hand, a robust, highly reliable supply chain that includes some of the UK’s leading manufacturers of construction plastics and on the other hand, a substantial base of satisfied, loyal customers. These strong operations allowed the Business to open a tremendously successful website and online store in 2009 that has taken off, expanding the Business’s reach across the nation and helping it achieve nearly £3.5m turnover in the fiscal year ending February 2020.

The Business:
The Business is a “household” name in the construction sector in the Southeast and throughout the country. Behind the aforementioned website, is a long-standing physical location of 3,000 sq. ft. that includes a busy trade counter. The Business was founded in 2009 by the current owners. It has become one of the top sellers of construction plastics in the region and the country, and is now perfectly positioned for further expansion, including the option to move into the traditional builder’s merchant space.

Reasons for Sale:
The vendors have taken the business are far as they can and are seeking new challenges, although they are prepared to continue to work for the buyer if required.

Key Considerations:
• Top tier seller of construction plastics.
• Excellent reputation and trading history.
• Well-known brand associated with high-quality products and service.
• Relied upon by large contractors, including blue chips.
• A top ranked, ecommerce website.
• Outstanding SEO that drives considerable traffic to the site.
• Strong relationships with leading UK manufacturers.
• Streamlined operations with a deep and trusted supply chain.
• Large, well-fitted and well-kept premises near a bustling port.
• Substantial, growing revenues and healthy profit margins.
• Numerous expansion opportunities including adding/converting to a builder’s merchant model.

Summary Results:

y/e £ 000s 2020 2019 2018
Turnover 3,447 3,066 0
Cost of Sales 2,091 2,103 0
Gross Profit 1,356 964 0

In 2019-20 the Adjusted EBITDA, after allowing for a replacement M-D, was c£516,000. The expected Adjusted EBITDA for the current financial year is c£616,000.
Tenure:
Leasehold
Listed by:
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