Office Address
1310 Hay Street
West Perth
Western Australia 6005
Mailing Address
PO Box 282
West Perth
Western Australia 6872
Phone: +61 8 9481 4422
Fax: +61 8 9481 4441
Email us:
info@buyabusiness.com.au |
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State of the Market
> Retail (General)
Retail (Food)
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Service & Professional Practices
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Hospitality/Accommodation
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Wholesale / Manufacturing
| Category |
Buyer Demand |
Profit
Owner Operator |
Approx.
Total Sale Price
(AUD) |
Approx ROI |
Profit
Under Management |
ROI |
Industry
Comment |
| Book Stores |
Fair
|
$175,000
|
$500,000
|
30% to 40%
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$115,000
|
20% to 25%
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Some buyer interest returning. Require large floor space which results in high rentals. Collins Booksellers National Franchisor in receivership on Autumn 2005.
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| Boutiques |
Weak
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$150,000
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$200,000
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75% to 80%
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$90,000
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40% to 60%
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Dozens to choose from including some excellent businesses but market is resistant to paying goodwill.
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| Card Retailers |
Light
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$160,000
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$300,000
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50% to 60%
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$100,000
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27% to 35%
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Some pressure on rentals. Independent stores competing with chains/franchises.
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| Florists |
Poor
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$50,000
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$59,000
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70% to 100%
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N/A
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N/A
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Low purchaser demand. Too many outlets to create substantial goodwill in most stores. Supermarkets encroaching on florist market share.
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| Liquor Stores |
Strong
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$250,000
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$1,000,000
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22% to 28%
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$190,000
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15% to 24%
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Interest across all price levels. Lease tenure important.ROI depends on product sales mix.
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| Lotto Kiosks |
Good
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$250,000
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$1,000,000
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22% to 28%
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$190,000
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16% to 24%
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Excellent businesses but must be priced to market or serious buyers look elsewhere. Solid interest.
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| Newsagencies |
Good
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$270,000
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$1,000,000
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25% to 30%
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$210,000
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18% to 23%
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Good demand but many for sale at "optimistic" price levels, causing a glut of stock.
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| Nurseries |
Occasional
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$200,000
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$290,000
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60% to 80%
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$140,000
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40% to 60%
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Demand is only occasional.
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| Retail (General) |
Selective
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$150,000
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$230,000
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50% to 80%
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$90,000
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35% to 45%
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Selective demand.Big shopping centres a problem area because of high rents.
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| Retail Bedding Franchise |
Fair
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$175,000
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$400,000
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40% to 50%
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$115,000
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25% to 35%
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Generally offer good value. More competition now with Eastern States chains entering WA market.
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| Roadhouse |
Moderate
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$140,000
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$200,000
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60% to 80%
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$80,000
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35% to 45%
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Market fair for the larger country sites (turnover $2 million plus per annum).
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| Service Stations |
Poor
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$200,000
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$320,000
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50% to 80%
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$140,000
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40% to 50%
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Multi-national oil companies have redefined the industry. There are now very few metro leasehold sites available. Some country sites available with modest buyer interest.
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| Sports Stores |
Slow
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$150,000
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$375,000
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35% to 45%
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$90,000
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20% to 30%
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Slow demand. Dominated by superstores selling at discounts.
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| Supermarkets - Large |
Good
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$400,000
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$1,500,000
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23% to 30%
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$190,000
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20% to 30%
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Demand is strong. Major outlets more popular, particularly Dewsons.
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| Supermarkets - Small |
Fair
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$200,000
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$525,000
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33% to 45%
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$140,000
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25% to 32%
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Asia/Australian community showing greatest interest. High profile locations an advantage. May be affected by relaxation of trading hours allowing Coles/ Woolworths 7-day trading rights at some future date.
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| Surf Retail |
Fair
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$140,000
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$300,000
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40% to 60%
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$80,000
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20% to 30%
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Few listings available. Always generate interest if priced to market.
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| Video Stores |
Light
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$100,000
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$150,000
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50% to 90%
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$40,000
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25% to 35%
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Cable TV revolution creates uncertainty. Customer demand for strong DVD content in store. Big franchises up till this point have achieved premium prices. Digital downloading a cloud on horizon.
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| Wrecking Yards |
Weak
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$250,000
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$450,000
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50% to 75%
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$190,000
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35% to 48%
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Difficult to realise goodwill due to the high level of stock and cash sales component.
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