Chance to clean up in specialist trade

Five Plus Services uses high pressure blasting to clean surfaces and also remove graffiti. Photo / Supplied

Five Plus Services, a leading provider of specialised cleaning, coating and maintenance services, is being offered for sale through Barrie Mullins at Affiliated Business Consultants for an asking price of $199,000 plus stock of about $12,000.

The main services provided by Five Plus include final new building cleaning for builders, high-pressure water blasting, the application of coatings and sealers, and graffiti control.

"Having worked in many industries, the company has developedsystems for virtually any cleaning or coating and preventative maintenance situation across a broad spectrum," Mullins says.

"The business has been built on a reputation of delivering excellent service and proven results.

"It is a well established and profitable going concern with plenty of opportunity to introduce new clients and expand," he adds.

"Five Plus has been operating now for over six years with the business providing a wide range of services to large-scale clients predominantly in the construction, building and manufacturing industries, and including public sector facilities."

Mullins says the present owner prefers to run the business from his home office, while keeping the equipment in a storage facility in East Tamaki.

The company's Neil Park Drive depot is a 93sq m factory and office, used as storage and depot.

"This is on a casual month by month rental, which will allow a new owner the flexibility of keeping the depot or relocating to a more convenient location," Mullins says.

"The business has in excess of $100,000 of plant and equipment to carry out the variety of services it offers. Some items of equipment have been especially designed for the tasks carried out by the business on a day to day basis."

Mullins says Five Plus Services has "an enviable client base" that includes some of New Zealand's best known construction companies and all the work is undertaken on a contract basis.

"The business has no direct employees and all the work is completed using regular contractors or, when necessary, labour hire. The number rises and falls with the work schedule with anything from five to 50 workers being required."

Ongoing relationships with key customers represent about 90 per cent of the annual business with the growth of the client base largely coming from referrals and more recently from an online portal where the business has been supported by its investment in a new website, www.fiveplus.co.nz

"For a business of this size, it offers exceptionally strong financials, with turnover exceeding $450,000 and profits to the working owner in excess of $120,000," Mullins says. "The current vendor is not `hands on', preferring instead to manage the business. However, a new owner could earn even more from the business by more `hands on' involvement."

Mullins says the owner is "unfortunately obliged" to sell due to conflicting business commitments.

"They are therefore offering the business for sale at a very significant discount so it is priced to sell and the vendor will happily make time to meet with any interested parties."

He says that the business would suit an owner operator who could build on the current momentum and add their own input."

The incoming owner could expand the services and the customer base by direct quoting and tendering, which would increase turnover and profits without a significant increase to costs.

"It is an easy to run contracting business providing a specialised service that is always in demand and there is a significant amount of work in the pipeline through forward bookings," he says.