Established & Highly Profitable Luxury Coach Hire/Travel Company
Location : Edinburgh, Scotland
Asking Price : OIRO £950,000 (inc.Net Assets)
Turnover : £764,000
Net Profit : £186,000
Gross Profit : £400,000
EBITDA : £316,000
Net Asset : £410,000
Premises : Leasehold
Confidentially offered for sale
Turnover circa £764,000p.a.
Gross Profit circa £400,000p.a.
Typical Adjusted EBITDA circa £316,000 (pre director drawings)
Operating profit £186,000 after all costs
Net Assets of circa £410,000
Superb location for city/airports/motorways
Regular blue chip client base (tour operators, travel co’s, education, etc.)
Modern high quality fleet
Established team of dependable drivers and support staff
Highly profitable operation
This highly profitable business was established by the vendor over 20 years ago and since then the company has grown to become one of most respected and trustworthy coach hire companies in the Edinburgh region with a modern fleet of executive vehicles. The business is ideally located, close to both Glasgow and Edinburgh airports and the national road network, and is in an ideal location to serve major growing population centres. The site offers space for the current fleet, workshop and office areas, with room for expansion.
The business has developed a thriving client base across a variety of sectors, many of whom are highly desirable blue chip organisations providing high levels of repeat business. The business is particularly strong in the tour operator/holiday company sector but is not over reliant on any one client, having a good spread of regular clients, large and small. With a major brand presence, and the flexibility to offer a range of coach sizes (typically 16-53 seats) that other firms cannot compete with, the business enjoys bookings from local businesses, tour operators, public sector bodies and private residents covering a huge catchment area for a wide range of trips. These include airport transfers, corporate events, public sporting events, excursions to attractions and exhibitions and private function bookings.
The business has grown through recommendation, referral and a well-thought out strategy to become one of the most respected and profitable operators in the region. As such the business has grown year on year both in terms of market share, asset base (fleet) and profitability. This trend is expected to continue moving forwards.
The business enjoys a strong order book for the current staff and vehicle levels, with excellent opportunities for future growth in a number of directions.
Alongside the fleet of high quality vehicles ranging from 8-53 seater vehicles, the company operates a semi-automated booking system. It has also invested in a well laid out and easily found website, offering online quotations and enquiries.
Full fleet details are available subject to completion of the Turner Butler confidentiality agreement.
Fleet is included in the asking price.
The business prides itself on the highest quality customer service at competitive prices, not marketed as the cheapest, rather as the best. It provides a bespoke service to meet each client’s own unique requirements be it an airport shuttle or a full tour service with guide. Each vehicle has company livery, and all the drivers are highly experienced to instil pride in the team, and confidence of a professional service to all customers and clients.
The company focuses on answering enquires in a very timely manner, and with the range of vehicles to hand, they can meet all demands with a very flexible service.
Vehicles are cleaned and inspected daily, and feedback is requested continually. The stream of feedback sent in allows the owners to continue to surpass expectations, and answer any key issues to retain business once it has been won.
The company is a member of The Federation of Small Businesses.
The range of vehicles that the company can offer represents a service that has limited direct competition. The business is located in Scotland’s capital city and also near enough to service Glasgow effectively, as well as other growing population centres so has a huge potential market to serve.
The marketing and branding has been established for over 20 years, which means the company is at the forefront of people’s minds when thinking of a professional coach hire company in the region.
Other key strengths include
• Ongoing growth year on year
• Highly impressive profitability
• Strong asset base and fleet
• Trustworthy and reliable staff
• Bespoke solutions
• Customer base
The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
Figures for year ending May 2018 are expected to be similar to past 2 years
Turnover for year ending May 2017 circa £764,000 p.a.
Resultant Gross Profits circa £400,000 p.a.
Adjusted EBITDA (pre director drawings) circa £345,000*
Operating proft after all costs including management c£186,000
Turnover for year end May 2016 circa £833,000 p.a.
Resultant Gross Profits circa £413,000 p.a.
Adjusted EBITDA (pre director drawings) circa £288,000*
*After rental circa £25,000 p.a.
Net Assets included in sale circa £410,000
Asking Price of £950,000 is for 100% of the Issued Share Capital in the Limited company based on the Net Assets being £410,000 at time of sale. Should the net asset position be different from this at time of sale the price will be adjusted in line with this, either up or down on a £ for £ basis.
The business was originally grown through direct marketing and promotion efforts of the vendor. Since then there has been some investment in print and website. The company also benefits from social media presence.
With a constant focus on customer feedback, and direct response, the client database has grown with the company.
The business is primed ready for the next stage in development. The current owners have developed and grown the business very successfully to date but believe the business would benefit from a new injection of energy and business acumen to maximise the many opportunities that exist.
The current operation could easily be expanded. With further investment in marketing and promotion, the site can handle further additions to the fleet and workforce.
The business is operated from a large 2 acre site which is modern and clean. On-site is parking for all vehicles. Location is ideal being close to the airports with excellent access to the major conurbations and road network.
The Vendor is happy to provide a suitable lease to a new owner subject to negotiation. Current Asking price is based on a rental to a new owner circa £25,000 p.a.
As required but has a 24 hour emergency number.
This is a family run business. The vendor is very much hands on and runs the business on a day to day basis. The business employs a team of full time drivers and administrators, as well as further part time drivers. There are a number of key staff within the business who can run things on a short term basis should the vendors be away.
Most staff have been with the business for a number of years. They have proved to be reliable, conscientious and a real asset to the business. The vendor prides himself on offering an employment approach that breeds loyalty and best service practices.
The vendor will assist in ensuring the business is transferred to new ownership in a successful manner, and will be happy to stay on to consult with the business for a further extended period should a new owner so require, subject to negotiation.
After 20 successful years growing the company from scratch to the present trading levels, the current owners believe the business can best be taken to the next level by someone with fresh energy levels and ideas for new investment or business cross-over opportunities.
The vendors are also planning their exit with retirement pending.
If you are looking for finance to fund your business purchase then we recommend that you talk with our independent finance broker. Because of his many years working at a senior level for a major high street bank he has had more success with finance applications than anyone else we know. He has helped numerous purchasers of businesses that we are selling, including buyers who have been turned down by their own bank! Call us today on 0800 046 1652 or email us at email@example.com.Turner Butler Disclosure Statement
This statement applies to information relating to any company or other undertaking or business advertised for sale by Turner Butler (a 'Business')
The information supplied by Turner Butler on its website or in any other promotional material ('the Information') is not and is not intended to constitute an offer for sale of the Business or any assets of the Business or of the shares of any company which owns the Business.
For the avoidance of doubt there is no intention to create a legal relationship which will only come into existence when a written contract for sale and purchase of the shares in or the Business has been entered into
The Information provided is not intended to address your particular requirements. Further the Information does not constitute any form of advice recommendation representation endorsement or arrangement by Turner Butler and is not intended to be relied upon in making (or refraining from making) any specific decisions.
Any agreements transactions or other arrangements made between you and any client of Turner Butler are at your sole risk and responsibility. The prospective sellers of the Business have provided the Information to Turner Butler. The Information has not been verified by Turner Butler.
You must carry out your own due diligence and satisfy yourself as to the accuracy of all matters. In the case of the sale of shares in a Business the Information has been prepared on the basis that the shares will consist of or include more than 50% of the voting shares and that both the seller and the buyer is either a body corporate, a partnership, a single individual or a group of connected individuals so as to fall outside the scope of regulated activities as defined by the Financial Services and Markets Act 2000. If you are considering a transaction which falls within the scope of such regulated activities you cannot do so through Turner Butler.
Appropriate professional, legal and accountancy advice should be obtained before making or refraining to make any decision.
Turner Butler does not accept any responsibility or liability for loss or damage of any nature that may occur by reliance on the Information. Neither Turner Butler nor any of our employees or agents makes any representation as to the completeness or accuracy of the Information nor do we accept any liability for any losses, costs, liabilities or expenses which may arise directly or indirectly from your use of, or reliance on the Information.
This document is governed by and shall be construed in accordance with English Law and any dispute arising in connection with it shall be subject to the non-exclusive jurisdiction of the English courts