Summary

Servicing the whole of Namibia's hospitality industry as the "Go-To" for all equipment and amenities required.

Give me more information

Fully describe the business's activities?

This Business has two lines of merchandise
1. the hospitality line, where they sell textiles, amenities, table linen, furniture, laundry equipment, work wear, heating and cooling gear, restaurant equipment as well as consumables generally used in the hospitality industry and
2. A hospital line where the business sells hospital linen, bed curtains, toweling products, lined sheeting, protectors, shrubs and many more

How does the business operate on a daily basis?

-The order for the products comes mainly be email, by phone and/or clients coming in personally. The clients also come into the business to collect their orders
-The business has specialized staff who know the products by heart, are firm on product quality and sizes and are able to give expert advise
-There are daily morning briefings, during this time there is discussions on any unfinished tasks, updated to-do lists and reporting of grievances of clients and staff which is delt with quickly and efficiently.

What Advertising/Marketing is carried out?

The most of the of the advertising is done via email to a carefully selected client list.
The business has a huge contact list of clients consisting of hotels, lodges and restaurants throughout Namibia
Clients outside the borders of Namibia contact the business after being referred to by happy clients

What competition exists?

We identified 3 main competitor all located in Windhoek.
It seems that each of them focusses mainly on specific (smaller range) of products with a focus of product pricing.

How could the profitability of the business be improved?

Implementing of a more robust stock control system for stock keeping. The business operation runs smoothly and effectively, striving to improve wherever a gap in the market is identified. This can be processed quickly because it is owner managed and run.

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

The breakdown on staff currently in the business:
* General Manager- 1 Owner
* Financial Manager -1 Owner
* Assistant manager / Head of Sales -1
* Sales ladies - 2
* Sewing department - 1 - working at an hourly rate (approx. 120-130 hours /month)
* Driver (deliveries) - 1
* Assistant driver -1
* Warehouse manager -1
* Warehouse assistant - 2
* Cleaner/warehouse assistant - 1

Do any have management potential?

The business owner has identified an exceptional individual/worker who acts as appointed manager when the owners are not available

How involved is the Owner in running the business?

The business is owner managed and they are involved in the day-to-day running of the business as general manager.
The accounting is solely done by owner, as well as debtors/statements, creditors, all payments, salaries

What are the trading hours?

The trading hours is from 8h00 - 17h00, Monday - Friday

What are the main assets of the business?

- The business carries a sizable amount of stock of exceptional quality
- The companies long standing account clients, recurring happy clients,
- The business has motivated, experienced and reliable employees
- The company owns the building
- Good cash flow in the business
- Sole agencies with several suppliers, no competition for many premium products made available in Namibia
- Existing quick flow of supplies from Europe and SA

Strengths?

- The availability of vast stock in the business
- The motivated employees working for the company
- The business has good cash flow
- The business created a pleasant environment for both clients & staff
- There is not a strong/big competitor
- The broad clientele base with direct contact via email advertisement
- The business holds the sole agencies for a range of quality products/commodities only available from this business
- The business is dedicated to high customer satisfaction
- The high level of experience and practical knowledge of owners on hospitality approved and suitable products
- The smaller number of effective employees, high productivity is a plus point in the business

Weaknesses?

- The owners of the business have identified stock control which could be more efficient
- New owner can evaluate buying bulk containers of linen & towels directly from manufacturers in Asia for a price advantage
- The close owner supervision ties them to the daily operations in the business, thus, they cannot be away from the business for long periods of time
- The owner is required to travel a lot

Opportunities?

- Tender for government
- Exploring the Angolan market
- Expanding the range of products for hospitals

Threats?

There are no immediate threads in the industry or in the company in particular that we could identify
It has been observed that some of the competitors started flooding the market with linen & towels at lower prices, with little mark-up, thus poaching some of the business's regular clients. The company decided to not step down to this level as price wars damage your business.