Established textile production focused on women's fashion and advertising textiles

Jihomoravský region, Czechia

listing nr.: 240016

Photo is illustrative
Valuation 356 000 € (9 000 000 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.
760 000 €
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.
29 000 €
EmployeesThe number of employees employed in the company on a permanent employment contract as of the date of publication of the offer.
12

Basic information

The subject of the sale is a 100% share in the company, focused on the production of clothes and their sale to retail customers. The company also runs its own e-shop, through which it sells its own products, textile materials and accessories and cut attachments of own production. The company is also engaged in the production of advertising and corporate items and clothing to order. The company has been operating on the market for more than 30 years and during its existence has built a stable network of retail buyers and customers throughout the Czech Republic.

The first pillar of the company’s production is the production of clothes intended for a network of retail customers. The products are distributed under a registered trademark, the company designs the products itself in the category of fashionable women’s collections. The company’s collections are always designed and patterned well in advance from materials from suppliers from the Czech Republic, as well as several European countries (especially Italy, Germany, Spain, Poland and Greece). The company also cooperates with foreign suppliers of accessories for textile products or with companies providing special technologies. The collection of products is offered both by our own sales representatives and by participating in the STYL/KABO trade fair in Brno, always for the spring/summer and autumn/winter seasons. Thanks to long-term contracts, the company is always busy several months in advance. The network of retail customers consists of more than 100 regular customers and 9 commission partners.

The second pillar of the company’s production is production designed for custom textile production – especially for corporate clients. Here, the products are distributed under a second registered brand designed specifically for this clientele. Most of the products are designed by the company itself, or it solves orders based on the exact specification of the client. In this case, too, all technologies and cutting options are used, as in production for the retail market. A fundamental advantage for meeting sometimes very short delivery dates is the possibility to purchase basic materials in a wide range of colors from the constantly replenished stock of several suppliers.

The third pillar is the production of sportswear, sportswear for fitness, yoga and cycling is available in the range database.

The fourth pillar is the design and production of advertising and gift items to order and the catalog sale of advertising and gift items, which the company implements in cooperation with one of the largest companies importing these goods to Europe.

The company’s customers are:

  • clothing retailers;
  • B2C e-shop customers, company store customers;
  • companies requesting corporate and advertising items.

The company’s business activities are ensured mainly by external sales representatives, but the company also uses presentations at Styl/Kabo fairs, advertising campaigns on FB, Instagram, Seznam, personal meetings with regular clients and participation in tenders. The company runs an active e-shop for the sale of its products, sale of fashion, accessories and cuts from its own database. The company has its own MRP accounting program and manages the accounting itself.

The company currently employs 12 employees, including the owner. A great added value of the company is the possibility to design new things, thanks to the design skills of several employees of the company. No less important is the ability to retain the majority of important clientele in the long term – especially thanks to the significant experience of the sales team.

As for the background of the company, the company has a model room, where new basics are created – cuts, both for the women’s collection and the required models for corporate clients. Subsequently, the model room is followed by a cutting room, where both small and large orders are cut on a band saw, which is intended for cutting cut parts. The sewing workshop is equipped for the production of light clothing. The capacity of the sewing workshop is 1200 – 2000 pieces per month, depending on the complexity of the products, the rest is assigned to wage workshops. The product is processed in the wage workshops in the same quality as at the base. The last part is the output control, which includes ironing equipment and a grease stain cleaner with air conditioning. The company also has a warehouse of materials and a warehouse of finished products intended for shipment. The company also owns a server and a network of computers and printers.

The role of the owner consists in general negotiations for the company and at the same time manages its operation, especially in terms of production and sales in the field of women’s fashion. The owner is selling the company only for health reasons. The listed price also includes stock with a purchase value of up to CZK 8 million.

Overview of the company’s financial results

 

Tangible property

  • passenger cars
  • machines and equipment of sewing workshops and cutting shops
  • equipment of four offices
  • the value of the property is approx. 3.3 million CZK
  • inventories worth CZK 8.0 million

Intangible assets

  • Contracts for the supply of goods for the next year ahead
  • client and supplier database
  • trademark
  • social networks, active website – e-shop
  • database for production materials – cutting documentation and other necessary materials for clothing production

Rentals

Part of ground floor building

  • area: approx. 534 m²
  • rental amount: 45 thousand CZK per month

Office and handy warehouse

  • area: approx. 106 m²
  • rental amount: 10 thousand CZK per month

Employees

  • 12 employees

Indebtedness

  • no debt

Total annual sales

  • 2021: CZK 20.4 million
  • 2022: CZK 23.5 million
  • 2023: CZK 19.2 million

Normalized company profit

  • 2021: CZK 900 thousand
    2022: CZK 1 340 thousand
    2023: CZK 740 thousand

Note: The company’s normalized profit was calculated as the real profit that the company is able to generate, i.e. profit that is adjusted for non-recurring, non-standard and core business unrelated costs.

Other information

  • History: 30+ years
  • Reason for sale: health 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).