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Commercial, For Sale, Business, Retail, Wollongong, New South Wales

EMAIL TO A FRIEND
Wollongong NSW
$130,000

Charming retail business with a WOW factor!

WHAT WE SELL Effectively the shop sells 5 lines: 1)      Beads!  It has an excellent reputation for selling the best quality beads and findings from around the world. 2)      Designer jewellery. We make and sell an innovative range of jewellery on the premises and offer a custom design service for every possible occasion.  People buy these ready made pieces or are inspired by them to make their own creations. 3)      Repairs. We do a lot of jewellery restrings and repairs.  Many of the local jewellers refer clients to us. 4)      Education. We conduct classes for adults and children in various styles and have developed a range of kits so that people can make jewellery at home.  We have tailor made classes to suit g

WHAT WE SELL

Effectively the shop sells 5 lines:

1)      Beads!  It has an excellent reputation for selling the best quality beads and findings from around the world.

2)      Designer jewellery. We make and sell an innovative range of jewellery on the premises and offer a custom design service for every possible occasion.  People buy these ready made pieces or are inspired by them to make their own creations.

3)      Repairs. We do a lot of jewellery restrings and repairs.  Many of the local jewellers refer clients to us.

4)      Education. We conduct classes for adults and children in various styles and have developed a range of kits so that people can make jewellery at home.  We have tailor made classes to suit groups or individuals with special needs and we encourage bridal parties to come and make their bridal jewellery. The shop provides a table, tools and printed information for people to refer to.  

5)      Giftware. Occasionally we sell gifts and homewares if they fit with our range.

 

WHO WE SELL TO

Our customers are very broad in taste and age, from Goths to Grannies and everyone in between! Our affordable quality comfortably fills the gap between the cheap fashion shops  and jewellers. We have kits for pre-school kids right through to adults. We sell to anyone who has an interest in fashion.  Our customers are predominantly, but not exclusively, women. Most are local but we have customers that travel from Sydney and interstate as we have one of the best bead ranges in Australia.

WHO WE BUY FROM

We have excellent relationships with Australian suppliers, some stretching back for 20 years. We also buy from selected overseas suppliers.

HISTORY

The shop has traded in the same location for 20 years. It was managed by the owner for the first 9 years and for over a decade now it has been managed successfully by staff as the owner lives interstate.  

The shop trades from 9-5 Mon to Fri and 9-4 on Sat. We used to regularly trade 4 hours on a Sunday but now open only seasonally on Sundays or for special classes.  Occasionally we teach a class in the evenings.

The shop has no finance on it or creditors, other than current stock.

ASSETS - Tangible

LOCATION - Situated in Globe Lane, only meters from Myers and David Jones in the heart of Wollongong. It is less than 5 minutes walk to the train station and very handy for the buses. It backs onto the main shopping malls in Wollongong, Gateway and Crown Central  and the area is earmarked for significant council investment and development over the next few years.

PREMISES 

The shop is approx 36 square meters with a large display window and good natural light. There is no lease but the building owner is willing to sign a new lease to suit at the current rent of $20,800 ($400 PW + gst)  The shop is compact and can be comfortably run by one person.

STOCK

The shop has beautiful, current, broad range stock of beads, findings and jewellery. Beads are non perishable and don’t date. It’s what you do with them that counts. The nature of the shop means that you can always create designs according to current fashion so we are never stuck with stale stock. In beads we have everything from semi-precious to Swarovski crystal and wood to plastic. We keep a good range of classic necklaces and earrings in pearl and crystal but also specialize in funky contemporary styles.

We also have Intellectual Property in the form of our jewellery designs and kits which we have thoroughly tested in classes and which have proved most successful. We have evolved ranges for specific age groups and have created instruction sheets and packing lists for kits.

We use television advertising which has worked well for us and the sale price includes these 4 x 15 second broadcast commercials.

FIXTURES AND FITTINGS

We have some custom built shelving for jars of beads and other cabinets to best utilize space and show the jewellery to best advantage.

REPUTATION

After 20 years of trading we have an excellent reputation for quality jewellery, range and service. The owner has travelled extensively and visited many bead shops across the world. Bead Box surpasses many of them. Our technical skills are well finessed – we guarantee anything we make and sell – and our ability to design innovative and visually delightful items is second to none. 

STAFF

Currently I have 3 staff members, all part time. There are no contracts to transfer. They are employed on a casual basis but have been with me for a long time.  They are well trained, intelligent and honest.  They are all very capable designers, class tutors and salespeople. One is retiring soon, one is considering retiring but is prepared to stay to smooth out a transition period with new owners, the third one would love to stay on casually or permanent part time if it suited the new owner. I would highly recommend utilizing their skills if you can.

TRAINING

The owner has excellent experience in training and is prepared to train a buyer for one week on the premises, or two if preferred.   Buyer will also be given access to all staff training materials currently used in the business. 

Owner is also happy to have an ongoing mentor relationship with a new buyer if they desire it – Even after over 20 years in the industry she believes there are constantly new things to learn.  It’s what keeps the job so interesting!

ASSETS – Intangible

TRAVEL -Almost every country in the world produces some kind of bead. During the years of running  the business the owner has found excuses to travel to Thailand, Indonesia, Czech Republic, Spain, Portugal, UK, Canada and NZ on buying trips.  Staff have also bought beads back from trips to Italy, Germany and Austria.  On the still-would-love-to-visit list are: China, India, Taiwan, Korea, Africa, Peru, Mexico.

UNIQUE SHOPPING PROCEDURES. In Bead Box the customers take a bowl, a bag and a pen and then collect the beads they want,  writing down quantity and price as they go. The advantage of this is that customers can keep a tally on what they spend.  It also means that the staff are not tied up by people making slow decisions. Staff skills are better used for design and technical advice.  On the whole, people are impressed by our trust and are very honest as a result. Alternatively they can make up something at the table and pay for what they use, having used our tools.

ATMOSHPERE - The shop is a lovely place to visit and a lovely place to work. It has a tranquil atmosphere and people generally leave feeling happier than when they entered.  The central table is used by everyone and it is often buzzing with creative ideas that are being passed between customers and staff.  Working in a pleasant atmosphere is gold.

LOVE FACTOR. Beads have a slightly addictive quality – people who love them will always love them and they’ll always want more.  They are also tactile. There is no substitute for looking at and touching beads.

SATISFACTION.  We are proud of the quality of our tuition. We teach techniques that are as good as, if not better than, many techniques used in the jewellery making industry. It is immensely satisfying to see someone twig how easy it is to make jewellery. It is particularly good to observe children learning patience, coordination, design and sharing in a class situation.

POTENTIAL

Beads have an extremely high margin and the shop has low overheads.  A little stock and imagination go a very long way!

The shop has been somewhat neglected for the last 18 months due to the owner’s personal circumstances (two close deaths and a car accident) but the price reflects this and the business has excellent potential to skyrocket with some investment of time and energy.  It currently has no live website (inexcusable but understandable given the circumstances) but it has had a web address established with a placeholder for about 2 years and a partially completed website.  (If you Google bead box it’s the first one on the list.)

Beads and jewellery have been part of human culture since Neolithic times - they’re not about to run out of popularity any time soon. Fashion trends and materials change but the appeal and significance of beads remains largely the same.

Leisure is a growth market and lots of people enjoy the low- tech satisfaction of making their own  goods.

Until recently hardly any beads were Australian made, but now there are mookite and rainforest  agate on the market which are beautiful native semi precious stones.  There is massive growth potential to make and sell these stones to the tourist market.

SELLING PRICE  Selling price is $130,000 WIWO

Breakdown is:-

  • $30,000 for the business -  concept, contacts and goodwill
  • $80,000 SAV and IP, domain name etc.
  • $20,000 fixtures and fittings
  • Turnover available on application.

TERMS  The business can be secured on a 10% non refundable deposit with the balance being paid in 30 days. I understand that any prospective buyer will want to secure the lease before completion of the sale of business. I am confident this will go through without hiccup but, for the buyer’s peace of mind, I am happy to offer a refund of the deposit if the transaction falls through due to any issues on the lease agreement on the side of the building owner. 

FINANCIAL STATEMENTS

These are available on request after signing a confidentiality agreement.

ADDITIONAL  INFORMATION

If you would like more information, owner has more extensive documents to look at. It’s a rare opportunity to buy yourself a terrific job!

Property Detail

Property ID:

12647

Type:

Commercial

240
Address:

Wollongong NSW

Building Size:

36m2

Car Parking:

no

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