Corporate Gifts and Promotional Merchandise Company SOLD

Reference Number: HA0326


Turnover: £640k

Status: SOLD

Business overview

–      Outstanding opportunity to acquire a successful corporate gifts and promotional merchandise business, based in London.

–      Profitable and cash generating business despite the current economic climate.

–      Established in 1988, the business has a highly desirable client base, including a major plc, several well known hotel chains, agricultural equipment manufacturers, law and accountancy firms to highlight a few.

–      Key to success: They are service driven offering advice to clients on the most appropriate products for the clients’ marketing campaign or event.

–      The business works closely with marketing and events companies as well as printers and much of the sales is through word of mouth and referral.

–      Effective ordering and delivery systems and processes are in place which allows the business to be run with minimal staffing overhead.

–      With a ready made client list, this business presents an ideal opportunity for another corporate gifts company to acquire bolt-on revenue or indeed marketing, events or printing business that wish to diversify, and acquire a new revenue stream with little additional overhead.

–      The business also presents an opportunity for an individual buyer with a good knowledge of marketing to acquire a platform from which to grow their own business.

Products and Services

–      The business provides the full range of corporate gifts, promotional merchandise, awards and exhibition giveaways and is a member of a catalogue group.

–      Clients are offered experienced advice to select the most appropriate products for their marketing campaign or event.

–      For bulk orders, the business provides storage at their premises and will despatch on demand.


-        1 director (vendor) + 2 full time staff + 1 part time admin assistant.


-        The business operates from premises owned by the vendor.

-        The vendor is open to leasing the premises to a new owner.

-        Indicative rent: £15,000 per annum. Rates and water: £3,127

Reason for sale:

-        The vendor wishes to retire.

Financial overview

Year ending 31st Dec 2006 2007 2008 2009 2010
Sales revenue £890,860 £929,942 £801,753 £727,813 £640,195
Gross profit £333,376 £348,843 £290,176 £233,354 £204,862
Percentage 37% 38% 36% 32% 32%
Adjusted EBITDA £62,686 £112,110 £71,269 £56,515 £60,507
Percentage 7% 12% 9% 8% 9%

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