skippyboyo1 Posted July 27, 2011 Share Posted July 27, 2011 Hi guys i own a Hair salon in Doncaster which turnes over around 60k and makes good profit. Its a high class hair salon with air conditioning and has alot of footfall as its bang in the town center of doncaster, however due to personal circumstances im wanting to sell. i designed and built this from the ground up,with a full building re wire and a top of the range boiler at total cost of 30k (i have all bills to prove this) however ive nearly had that back so looking to put it up for sale at 10k for a fast sale (my accountant thinks im nuts) now the building is rented however the landlady is flexible to 2,3,4 or a 5 year lease when it due to be re-signed and the business has zero debt. Anyway my question is whats the best way to sell this? anyone used a good company before? Any advice would be fantastic Quote Link to comment Share on other sites More sharing options...
dr_jekyll Posted July 27, 2011 Share Posted July 27, 2011 if that was down my way id be interesred in that Quote Link to comment Share on other sites More sharing options...
Jamesy Posted July 27, 2011 Share Posted July 27, 2011 I too own a hair salon in west sussex... i have found Adams & co very good and professional in buying and selling businesses - although not cheap, they tend to get the job done. Your place looks very nice and the prices are incredibly attractive - what kind of money do you think its worth up there as they vary a lot down south. Quote Link to comment Share on other sites More sharing options...
ozz Posted July 27, 2011 Share Posted July 27, 2011 I seem to recall Dalton was a good business for sale publication when I was looking to buy something many years ago. Sounds like a great business and price, shame you have to sell. Anyone thinking of buying - make sure the contract has a clause preventing the owner using the client list and replicating the business in the same area (i saw this on TV ) Good luck! Quote Link to comment Share on other sites More sharing options...
marc_p Posted July 27, 2011 Share Posted July 27, 2011 Hmmmm, interesting. Do you have the figures for this year so far? Mainly for the outgoings(with a detailed breakdown of overheads, salary's, consumables, etc) then the income. Also have you got a terms of sale written up? Would like to see exactly what is included in the sale. Oh and one last thing, is it yourself that handles the day to day running of the salon or someone else? If it's someone else, what exactly do they take care of? Feel free to PM back as I assume there may be details you don't want to broadcast. Quote Link to comment Share on other sites More sharing options...
skippyboyo1 Posted July 27, 2011 Author Share Posted July 27, 2011 I too own a hair salon in west sussex... i have found Adams & co very good and professional in buying and selling businesses - although not cheap, they tend to get the job done. Your place looks very nice and the prices are incredibly attractive - what kind of money do you think its worth up there as they vary a lot down south. my accountant thinks its worth at least £25000 as its a profitable business but as i said its a personal thing as to why it has to go. Quote Link to comment Share on other sites More sharing options...
skippyboyo1 Posted July 27, 2011 Author Share Posted July 27, 2011 Hmmmm, interesting. Do you have the figures for this year so far? Mainly for the outgoings(with a detailed breakdown of overheads, salary's, consumables, etc) then the income. Also have you got a terms of sale written up? Would like to see exactly what is included in the sale. Oh and one last thing, is it yourself that handles the day to day running of the salon or someone else? If it's someone else, what exactly do they take care of? Feel free to PM back as I assume there may be details you don't want to broadcast. i dont work in the salon im just the owner and director.i have a tony and guy trained salon manager who runs the day to day business with another girl who rents a chair.there are 5 chairs however ive only ever ran with 2 taken as i didnt want to grow to fast. the 10k wound be for EVERYTHING inc the business as a whole and as i said the lease is coming up so would just need changing over. as for accounts the 2nd years are just being done now and im anal with the books so i know exactly what the incomings and out goings are. its a shame it has to go however ive just got a new job thats going to take up 95% of my time and ive got the mrs wanting a family so thats why its going. Quote Link to comment Share on other sites More sharing options...
marc_p Posted July 27, 2011 Share Posted July 27, 2011 I'll send you a PM fella. Quote Link to comment Share on other sites More sharing options...
ilicos Posted July 27, 2011 Share Posted July 27, 2011 The business is worth approximately 2-3 times the NPBIT (Net Profit Before Interest and Tax) plus net realisable value of assets plus goodwill for a business your size. Will you be selling the company or just the business? Get a professional valuer in to handle the sale for you otherwise you'll be regretting it in the months to come. I would be inteested to see your balance sheet so that I could advise on your tax position as that has to be taken into account. Quote Link to comment Share on other sites More sharing options...
Jamesy Posted July 27, 2011 Share Posted July 27, 2011 my accountant thinks its worth at least £25000 as its a profitable business but as i said its a personal thing as to why it has to go. Yes i would have said down south, depending on T/O and profit etc you'd be asking for £30-£35k Have thought quite recently about selling mine also as i think they onoly really return decent profits when you have a working owner in there doing the styling Quote Link to comment Share on other sites More sharing options...
ozz Posted July 27, 2011 Share Posted July 27, 2011 I'm sure you thought about this but you say you have a manager in place - would he be interested in buying it? As mentioned, the most profitable route would likely be an active manager/owner. As you seem to be more worried about time than money I'd up the price to 15k but offer him a business loan, so he pays you X amount every month or quarter. I believe these deals are quite common on the states (yes, another TV programme!) so perfectly feasible. HTH. Quote Link to comment Share on other sites More sharing options...
Jamesy Posted July 27, 2011 Share Posted July 27, 2011 Only problem is, and again ive thought long about this - when you sell a business you dont really want the staff to know until its all done. If you approach the manager and they said no or cant afford it, all of a sudden they are worried the business is about to be sold under them and could well find other jobs and leave you stuck in the interim... Quote Link to comment Share on other sites More sharing options...
jonathanc Posted July 27, 2011 Share Posted July 27, 2011 Toyota Supra... the new hairdressers car. Quote Link to comment Share on other sites More sharing options...
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