Successful interior design studio in Prague with 20 years of history

Praha, Czechia

listing nr.: 240038

Photo is illustrative
Valuation 297 000 € (7 500 000 CZK)
Net debtNet debt is an indicator of a company's indebtedness. It is expressed as the amount of the interest-bearing loan minus the cash in the company.
0 €
Revenues Revenues express the total annual volume of the company's performance, which the company obtained through the sale of goods and services during the accounting period.
1 426 000 €
HistoryDuration of business operation.
20+ years
EBITDA EBITDA is a financial indicator of the company's operational performance. Annual EBITDA is expressed as earnings before interest, taxes and depreciation in a given year.
154 000 €
EmployeesThe number of employees employed in the company on a permanent employment contract as of the date of publication of the offer.
7

Basic information

The subject of sale is a 100% share in an established company, focused on the design of complete interiors and parts of interiors of apartments and houses. The company has been operating on the market for more than 20 years and during this time has become one of the leading companies in its field.

The company’s services include comprehensive solutions for interiors and parts of interiors, from planning and graphic design through installation documentation to assembly. The company also provides deliveries, especially built-in household appliances. In addition, the company installs all furnishings and then hands over the premises for use. The company also provides consultations for its customers through its sales team, which includes experienced designers.

The company’s target clientele are mainly individuals and investors who buy new buildings and houses, or investors who carry out renovations of apartments or houses. Developers account for approximately 5% of completed business cases. The company’s broad customer base is a great added value, with an above-average proportion of returning customers. New customers come mainly on the basis of references and recommendations from thousands of satisfied clients, through a website and advertising campaigns on social networks or search engines.

The company operates an established showroom, located in a very exposed location in a modern air-conditioned building. The showroom has been in operation for more than 20 years and during this time has gained a firm place in the customer’s awareness. Current exhibitions are regularly changed on an area of ​​400 m². The company has a long-term lease on the showroom premises and also has a pre-emptive right to purchase these premises.

The company’s economy has been growing continuously, with the increase in the years 2021 to 2023 being mainly due to the year-on-year increase in the total value of orders, which was reflected in increased sales with relatively stable fixed costs. However, there was a slight stagnation in orders during 2023, mainly due to macroeconomic reasons. However, a gradual return to the original level of orders is expected in connection with the recovery of the real estate market and increasing sales of new apartments. If the current trend continues, an increase in the number of customer orders is expected at the beginning of next year. Macroeconomic changes are reflected in the value of new orders with a delay of approximately six months.

The owner holds the role of the company’s executive director and is dedicated to managing the company part-time, while he is not directly involved in the daily operations. However, he is willing to remain available to the new owner after the sale for the period necessary for a smooth transition and transfer of the company’s know-how. The reason for the sale is the owner’s advanced age.

The company is suitable for a development company that might be interested in providing interior design and implementation on its own. The purchase may also be attractive for an individual investor from Prague or the surrounding area who wants to start their own business without having to start from scratch. A suitable investor could also be, for example, a company engaged in apartment renovations or an investment company/financial investor who would bring their own manager to the company and use its potential for further growth.

Overview of the company’s financial results

 

Tangible assets

  • studio equipment worth 1.0 million CZK
  • samples of furniture sets (on display in the showroom) including appliances and furnishings, worth 2.5 million at residual prices
  • 2x passenger cars worth 500 – 750 thousand CZK
  • inventories worth approximately 2.0 million CZK

The market value of tangible assets is estimated at 3.0 – 3.5 million CZK. CZK.

Intangible assets

  • specialized software for interior design, license worth approx. CZK 150,000
  • contract with a key supplier for an indefinite period
  • company client database with approx. 3,000 contacts
  • professional and trained sales team
  • know – how

Rentals

Interior studio located in a business zone

  • modern and exposed location in an air-conditioned modern building
  • studio with an area of ​​400 m² with the possibility of expanding the area by another 200 to 400 m²
  • lease for an indefinite period with the right of first refusal
  • rent amount: 160 thousand CZK/month excluding VAT including services

Employees

Number of employees: 7x

  • 1x accountant
  • 2x managers
  • 3x designer/complete interior designer
  • 1x technical support, surveying and preparation of installation plans,
  • 1x coordination of logistics, backorders and complaints

Debt

  • no bank debt

Total annual revenues

  • 2022: 33.0 million CZK
  • 2023: 36.0 million CZK
  • 2024 (estimate): 30.0 million CZK

Operating normalized EBITDA

  • 2022: 0.8 million CZK
  • 2023: 3.9 million CZK
  • 2024 (estimate): 1.0 million CZK

Note: Operating normalized EBITDA was calculated as operating profit, adjusted for sales of DHM and adjusted for depreciation.

Other information

  • History: 20+ years
  • Reason for sale: personal reasons of the owner
  • Legal form: s.r.o.
  • Subject of sale: 100% share in s.r.o.
I am interested

Ing. Tomáš Šuverík

managing director

+420 731 788 155
suverik@inbase.cz

If you are interested, contact us!

We will be happy to provide you with more detailed information after signing a non-disclosure agreement (NDA).