Summary

Trading since 2015 in a large mall in Port Elizabeth The business is well situated, and the decor is very inviting, with seating for 50 diners. The reason for the sale is that the Owner is now domiciled off shore and is not able to do justice to the business.....this has impacted significantly on the performance.

Give me more information

Fully describe the business's activities?

Restaurant and take aways in large and busy Eastern Cape mall
The restaurant focusses on normal activities plus birthday parties, catering for center management, platters etc.
The business has a full on-site liquor license and are known for their Sunday lunches, breakfasts and their cakes. Milkshakes are also popular.
Deliveries by Mr D and Uber are available.

How does the business operate on a daily basis?

The business has managers in place who manage the daily operational requirements.
The Owner is remote to the business but oversees all the financial aspects and also view live footage as and when desired.
The fact that the Owner is not on site has impacted significantly on previous years.

What Advertising/Marketing is carried out?

The marketing is handled in conjunction with the Mall Management

What competition exists?

As with all malls, there are a number of competitors within this sector

How could the profitability of the business be improved?

An on-site Owner would be beneficial as they would be able to manage promotional activities, oversee staff motivation and interact with the diners.
The year on year financials indicate the impact of the Owner not being present.

Give a breakdown of staff/ functions/ length of service?

Manager - Front of house:
The current manager has 7 years of experience and is well known with customers and the center management
There is also a qualified Barista who takes over the managers responsibilities when necessary. She also has 7 years experience in this restaurant.
Back of House: There is a kitchen supervisor in place.

How involved is the Owner in running the business?

The Owner is not on-site as she has other commitments. This impacts on the business.
This is the reason for wanting to sell as an onsite Owner would be able to increase the business income significantly.

When does the current lease end?

May 2027

What are the trading hours?

Monday to Saturday: 08.00 to 7.00pm
Sundays and Public Holidays: 08.00 to 5.00pm

What is the square meters of the business?

180 square meters
The business has approximate seating for 50 diners

Is a copy of the lease available?

Yes, as and when required.

Do you require a licence?

A full on-site liquor license is in place.
All the required licenses are in place for food acceptability and also for the computer licensing

What are the main assets of the business?

Complete extraction fan unit with ducting from the restaurant to the roof
Kitchen equipment
Tables and chairs
Counters and display units
Decor and table dressings etc
Point of sale computers and software

What is their overall condition?

Good and well maintained

Are they presently insured?

Yes, fire and theft, third party damage and public liability

Strengths?

Strong foot count in a high profile position in the Mall, a convenient location for shoppers
Especially busy mall over holiday periods and weekends
Wide customer base, families, workers, shoppers etc

Weaknesses?

Owner cannot be on site on a continual basis.
Limited seating when the mall is very busy
Mall hours of trade can be demanding

Opportunities?

An on-site Owner could offer more marketing initiatives as an adjunct to the Mall promotions
Co-op promo's with other stores in the mall
Opportunity to increase the take aways and delivery services
Focused stock control during seasonal demand to ensure continuity of supply

Threats?

Poor service levels during busy periods can impact negatively

What is the reason for the sale?

The Owner is overseas and in the process of relocating.
For that reason she would like to sell the business rather than manage it remotely.

Why is this a good business?

As with all restaurants in Malls the business is ideally suited to an experienced and hands-on operator who enjoys the industry.
The Mall had issues previously but appears to be on recovery at present.
With an experienced restauranteur in place, the business will grow significantly as is indicated by the year on year turnovers falling.
The cost of sales has increased significantly indicating a food management concern in the business.
Nice mall, nice location within the mall and stunning decor!!