The future of Retail
Author: malekso
How To Deal With Stock
Buying a Business with Stock
ANNOUNCEMENT BY NICOLAS KENOS
It is with great pleasure to announce that effective 26th November, 2018, Darling hospitality group, owners of renowned venues Dundas & faussett, Darling Café and Bambu eating house, completed the acquisition of iconic Melbourne hospitality venues Higher Ground, Top paddock and Kettle black from hospitality pioneers The Mulberry group.
Nathan Toleman, Ben Clark & Diamond Rozakeas of the mulberry group, have been instrumental in developing the Melbourne hospitality scene for over a decade and have created some of Melbournes most iconic dining venues.
The sale comes at an ideal time, as it allows Mulberry group to move on and focus on their two new, exciting projects which are the groups most ambitious to date.
Nicolas Kenos lead M&A advisor acting for the shareholders of the Mulberry group said “ the darling group were the ideal strategic for the Sale. With decades of hospitality experience and three successful venues of their own, we are comfortable that Higher Ground, Kettle Black and Top Paddock will remain at the forefront of the hospitality industry.”
The Sale is one of Benchmark Corporates largest hospitality transactions and Nicolas Kenos feels confident there will be a lot more activity to come for some of the best operators across Australia.
Financing is becoming more difficult at the lower end of the market however, at the sophisticated end many cashed up buyers are seeking great cash flow opportunities.
For more information, please click here or contact Nicolas Kenos
SET UP YOUR LINKEDIN IN 4 STEPS
LinkedIn is the professional network with over 100 million members and is an online business oriented service platform. Therefor it is necessary to integrate LinkedIn in your Social Media Strategy. Read our 4 Steps how to start your Account.
Here’s how you get started:
- Personal Account— The first thing you need to do is create a personal account on LinkedIn. To make a company account, you have to also have a personal one. To begin, just go to www.linkedIn.com and enter the basic information. When you complete it, just click “Create My Profile.”
- LinkedIn Profile— Before you complete your profile, a confirmation email will be sent to your email account. It will have a link in it – you need to confirm your account by clicking this. It will take you to the sign-in page where you enter your email and password.
LinkedIn offers two services—a basic “free” one and a premium “paid” one. After you choose the type you want, you’ll be ready to click “Profile” and begin to edit your profile.
Create both your personal and company profiles. For your LinkedIn profiles it is recommended that you add a lot of information. All the information you enter is searchable, so the more you have, the better it is for your business, and the easier it is to be found.
When you’re finished preparing them, you can link your personal profile to your company profile. Make sure to add a detailed description of your business!
- Company website— You’ll see a field for your company’s site and the type of industry. When you put your site, use the format: http://mywebsite.com. This will automatically become a hyperlink to your company from your personal profile. All the members of your staff can use this hyperlink to link back to your company. It’s a great way to be seen.
Your industry field is searchable, so think before you choose. It will be a very good way to find potential clients and for them to interact with you. - Get involved— LinkedIn is the same as any social media site. If you want to be seen, you have to get involved. Make connections and contacts to start building your network. The exposure will help lead you to a bigger audience.
After you get set up on LinkedIn, there are several features that it has that can be useful to help build your business. Here are 9 tips how to improve your performance:
- LinkedIn Search— Search for others in your industry and/or for potential customers. The more you connect the bigger audience you will have.
- Ads— You can look at several of the ads for businesses in your industry. This will let you see how they use LinkedIn Ads for paid advertising.
- Import your email contacts— On LinkedIn you can import your email contacts from other email applications. This way you can begin to add LinkedIn connections to your existing email accounts.
- Post Updates— Like Facebook and Twitter, LinkedIn has a status update field. You can begin a conversation or post a link to an article you’ve written.
- LinkedIn Groups— Like Google+ circles, LinkedIn has groups. They are members who share a common interest in a specific topic. They help you build a community, so this is great for your brand.
- Reply to Updates— You can see all updates posted to LinkedIn. Begin conversations yourself or reply to someone else’s update. If you choose, you can elect to only see message from your connections or even set your own criteria.
- Banners— You can add up to three custom banners to your company page for free. You can use them to:
• Take customer testimonials, highlight them, and link them to your page.
• Link to and promote an upcoming event or webinar.
• Improve your target market by highlighting and linking to your blog posts.
• Promote a video you’ve posted about your business.
• Let others know of the various social channels so they can reach you there. - Post company updates each day— Post updates during the time of day you get the most traffic. For most, it’s in the morning. You can try different times to see what works best with your audience.
- Send messages to your target market— Linked in has a Sponsored Inmail feature that works like email. You don’t need them on your email list. It just works from your LinkedIn. This isn’t a free service, but it can be worth it.
Interested in knowing more? Give me a call, drop me an email, I am always happy to help.
Written by Peter Spinda, CEO www.digitalduet.com.au
Peter is the founder of Digital Duet, a Brisbane based company specialising in the design and development of business websites, marketing strategies and online business models. Visit Digital Duet today.
FIRST TIME ON THE MARKET – ONE OF RED ROOSTERS BUSIEST STORES IN NSW!!! DON’T MISS THIS GOLDEN OPPORTUNITY
Located in a large Regional New South Wales town is where you will find this top performing Red Rooster store. This high volume Red Rooster store is operated by the owner with an experienced management team in place. The owners have been in the game for many years and now there is an excellent opportunity for the buyer to purchase this top performing store on the market. The shop is highly visible with excellent street frontage on a major road and easily accessible for customers due to its prime location. Key Considerations of the business… > Well established business for over 20 years > Store predominantly ranks in the top 3 and at times number 1 in NSW and top 10 Nationally. > High profit and strong cashflow business with strong annual turnover well above $2m. > Large Drive Thru store with ample seating areas > Consistently solid trading over the years and steadily increasing > Located on a busy main road with heavy vehicle traffic > Repeat loyal retail customers > Long tenure with low rent below 7% > Experienced trained staff in place Why Franchise with Red Rooster? > Established in 1972 with its first store opening in Kelmscott, Western Australia, Red Rooster now boasts over 360 stores nationally and employs over 7,500 staff. Red Rooster is still the takeaway you don’t have to think twice about. In Western Australia, few would have believed that Red Rooster would grow into Australia's largest roast chicken operation. > Red Rooster is an iconic Australian brand with a rich history built over four decades and is a leading provider of takeaway chicken in Australia. > Head Office provides support including Administration, National Marketing, Retail Operations, Training and Customer Service. Priced to sell: $1,700,000.00 + SAV ($30k) This could be the one you have been waiting for, pick up the phone and call me today. INSPECTIONS BY APPOINTMENT ONLY!!! Business Broker Tu Nguyen 0401 260 154 tu@benchmarkbusiness.com.au www.benchmarkbusiness.com.au
Don’t Make these 2 Simple Mistakes When You Are Looking To Buy a Business
DON’T MAKE THESE 2 SIMPLE MISTAKES WHEN YOU ARE LOOKING TO BUY A BUSINESS.
Two of the biggest mistakes people make when buying a business are to either: 1. Underestimate the total investment required. 2. Overestimate the amount that they have available to invest. To avoid these two common mistakes you really just need to take a little time to accurately calculate the total amount you can afford to invest, and the total investment required, to acquire each business that you are considering. It always costs more than the asking price plus stock to acquire a business, there are many other costs that need to be considered. When buying any business you must always allow for the following costs:
- Purchase Price
- Stock At Valuation (Wholesale Value)
- Legal Fees
- Stamp Duty (if applicable)
- Assignment Charges (franchise, lease, other)
- Loan establishment charges
- Accountant’s due diligence fees and costs for advice
- Staff redundancy costs
- Set-up costs (stationery, uniforms, signs, advertising)
- Capital improvements
- Computer software and hardware
- …… and more. These are often broadly referred to as “working capital”.
To avoid overestimating your capacity, it is wise to meet with several finance brokers (or bankers) to help you to determine what your limit (or budget) should be. Once you have set your budget it iss much easier to find the right business, and move forward with the acquisition with certainty and without delay. Most experienced bankers and financiers will be aware of what to look at when buying a business. Because of this they are a great source of free advice and assistance in appraising a business, and its value. After all they won’t lend you the money if the business is not going to be able to repay the loan. Remember also, to calculate the “working capital” required when assessing a business. Avoid disappointment. .. make sure that you accurately assess the investment required, and that you are aware of your own financial capacity.
Should A Supermarket Buyer Pay For Outdated or Unsaleable Stock When Purchasing The Business?
Should A Supermarket Buyer Pay For Outdated or Unsaleable Stock When Purchasing The Business?
It is important when signing an agreement to purchase a business that you know exactly what you are getting. In most cases businesses will sell at a price +SAV (Stock at Value). It is important to understand that the price paid for stock is not what the product will sell for, but rather, it is the cost of the product (the cost price). When buying a supermarket, it is important to set the parameters for the stocktake process to ensure that the stock you are buying is still in a saleable condition. That is: in date and properly packaged. The “Rule of Thumb” for “use by” codes from date of stocktake is 30 days for grocery and frozen items, and 7 days for perishable items such as dairy and bread/bakery products. This is either determined by the company performing the stocktake, or an agreement between the two parties at the time of stocktake. Be aware that if you sign an agreement that is a WIWO (Walk in Walk out) price, then you run the risk of buying stock that is unsaleable. This is a risk for the purchaser as the seller has no responsibility for ensuring the stock is sellable, and the seller may reduce stock levels which ultimately affect the trading ability of the business. Because of this, (for added piece of mind) we recommend that it is best when buying a business that you buy it with + SAV in mind. Do you have any questions we can help you with? Don’t hesitate to contact a member of our friendly Business Broker team. David Zampech Supermarket Specialist
5 Reasons Why Owning A Business Is Better Than Having A Job
5 Reasons Why Owning A Business Is Better Than Having A Job
There’s no question that owning your own business is a risky proposition. But, working in your business has some benefits which include:
- Work in an industry that you are passionate about
- Choose your working hours
- Decide if you want to be an investor or owner operator
- Be in control
- Create the lifestyle you want
Interested in being your own boss? Find your dream business by viewing the hundreds of established businesses that you can’t find anywhere else at www.benchmarkbusiness.com.au. Interested in starting your own business? There are useful information guides on starting up your own business. The Government website is a good place to start.
WHY BRAINSTORMING IS AN ESSENTIAL PART OF BUSINESS MANAGEMENT
WHY BRAINSTORMING IS AN ESSENTIAL PART OF BUSINESS MANAGEMENT
“If it ain’t broke don’t fix it”… “We do it that way, because that’s the way we’ve always done it”…. These are not the sentiments expressed by successful businesses. These statements were probably the expressions of companies that have gone by the wayside. Companies like Kodak, The Sydney Harbour Ferry Company and Taxi Companies – all probably thought that way. Things are changing quickly and “Disruptors” and “Category Killers” are permeating and penetrating nearly every industry, so complacency is a fast way to see a business die. In business there are only three possible states:
- Growth
- Stagnation
- Decline
You can choose which state you operate in. If you choose “Growth” then it is essential that you embrace creative thinking and that you establish “brainstorming” sessions. By holding regular brainstorming sessions business owners can get ahead of the pack, create growth and eliminate obstacles. Here are some tips for holding a “Brainstorming session”.
- Identify the issues and challenges facing the business
- Identify the right people to invite to participate in the session
- Catagorise the issues and challenges into groups and use that grouping to create an agenda
- Set an agenda with realistic timelines
- Have someone appointed to take notes and to create an “Action Plan” with execution dates and roles and responsibilities allocated
- Remember that there is no such thing as a dumb question or a bad idea
- Outline the options and really take time to expand on the options, and consider all alternatives
- Then select the most appropriate course of action
- Create the Action Plan
Be your own “disruptor”, and judge your business against your own standards, not the standards set by your competitors, or your clients low expectations. Don’t let the market or the competition push you out, use innovation – and even the fear of failure, to drive your business forward. Great ideas are free, it only takes time and money to execute them.
Electronic Signatures
ELECTRONIC SIGNATURES Change creeps up slowly on us, and it’s only when you look back, that you realise how much has changed, and how quickly. It doesn’t seem that long ago that we used to lick a stamp and put it on an envelope to send messages, information and documents. Similarly, we used to pay deposits in cash, and you had to meet someone to ask them on a date… all that has changed. In business we have seen many changes and innovation come into common use over the past 15 years, and the latest evolution in business is the inevitable adoption of the electronic signature. Under Australian law, a written signature is not necessarily required for a valid contract – contracts are generally valid if legally competent parties reach an agreement, whether they agree verbally, electronically or in a physical paper document. The Electronic transactions Acts in the Commonwealth, States and Territories of Australia specifically confirm that provided certain requirements are met, and a relevant exception does not apply, contracts cannot be denied enforceability merely because they are concluded electronically. Leading digital transaction management solutions can provide electronic records that are admissible in evidence under Australian laws to support the existence, authenticity and valid acceptance of a contract. So it’s time for businesses to adopt electronic signing protocols and move with the times… For more information on the shift towards electronic signing click the following link to download the PDF http://www.qls.com.au/files/4b3f12bc-58f8-44e4-9bf7-a7fd00c6a1a0/Electronic_signatures_when_effective.pdf Benchmark Business Sales & Valuations
