ABC Business brokers are delighted to offer for sale this thriving and highly regarded hair salon located in a prime position in Dagenham.
The Business
Started four years ago by the owners, ‘Classic Hair Salon’ has grown into the premier unisex Afro-Caribbean hair salon in the area with a loyal customer base providing strong repeat business. Offering an unrivalled range of styling, cutting, colouring, and hair treatment services, as well as related sales products. This popular salon provides five styling positions, two backwashes and two male cutting stations.
Location
Situated in the thriving multicultural town of Dagenham (population 160,000) in Greater London. Which has London Underground stations at Dagenham East and Dagenham Heathway. The latter being just yards from the salon, making this business very convenient for commuters.
There are also National Rail services from Dagenham Dock and nearby Chadwell Heath and London Bus routes 145, 173, 174, 175 and 364 all service the area, with a busy bus stop being located directly in front of the salon.
Major brown field site housing developments are forecast to increase the population by tens of thousands. Also Thames Gateway redevelopment zone and the extension of the Docklands Light Railway to the area will make this flourishing area even busier.
Tenure
We are advised that the property is on a 15-year lease with nine years remaining.
Rent £11,000 pa
Rates £4,600 pa
Premises
The business occupies a lock up, single storey unit on the main thoroughfare of ‘Heathway’, which enjoys an enormous amount of road and foot traffic right in the centre of Dagenham. The front main section of the salon is for female clients and there is a smaller rear room that caters for male customers plus washroom facilities.
The front area is tastefully decorated in a contemporary style with large mirrors and lighting, which give the salon a bright airy feel. The climate is kept comfortable all year round by an air conditioning system.
Marketing
The business is surprisingly successful considering it does very little advertising, relying on its reputation, repeat business and word of mouth to maintain its position.
Financial Information
2007 -2008
T/O £130,000
N.P. £40,000
Trading Hours
Monday to Friday 10am – 8pm
Saturday 9am – 8pm
Sunday Closed
Personnel
There are currently five employees (The owner runs the salon but does not cut hair)
Potential
The owner runs the salon to a standard that leaves little room for improvement. However that does not mean that there is no scope for expansion/diversification. Not least in the following areas:
Other complimentary services, particularly beauty treatments have yet to be explored.
A profitable sideline used to be the sale of handbags and shoes. This could easily be re-introduced.
The business has prospered perfectly well through word of mouth and repeat custom however active marketing should be considered to increase turnover further. This would be especially useful if it coincided with the introduction of new aspects to the business such as those mentioned above.
There is no company website and this should be considered for market awareness, booking and maybe even the sale of hair and beauty products.
Whilst inexpensive to instigate, the ideas above could make an already profitable business into an
even more attractive proposition.
Reason For Sale
The owner has decided that after years spent building the successful and profitable business that the Classic Hair Salon is today, he now want to relocate abroad.
He is more than happy to provide an adequate handover period to provide an opportunity for the new owners to become acquainted with the business, the staff, and the clientele, and continue the enviable reputation in the area that this business has built.
Comments
This business would be an ideal add on for a successful salon or salon chain that wishes to expand through acquisition with the minimum or work involved. It would also provide an excellent opportunity for an individual with salon experience who wishes to strike out on their own without the normal start up risks and the wonderful reputation and immense goodwill that goes with the business already in place. Either way this is a unique opportunity to purchase a popular and thriving business and early discussions are highly recommended.
Price £120,000
The Next Step
If you require any further information or would like an appointment to view the business. Please telephone 0844 561 1806. Viewing is strictly by appointment only, through ABC Business Brokers and no approach whatsoever should me made directly to the vendor.
Early viewing is advised
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