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Well Known, Upscale Online Retailer Of Designer Rugs To Uk Customers for Sale


Leasehold : £ 2,000,000

Established as the number one retail brand for those seeking high quality rugs throughout the country and an ideal platform for diversification into other homeware product sectors

Asking Price: OIRO £2,000,000

2021 Turnover: circa £2,500,000
2021 Gross Profit: circa £815,000
2021 EBITD circa (£104,000)

Current Stock assets circa £116,000

Ref No: AG154

Location: London

The Business

This business is well established as a specialised retailer of high-end rugs to customers throughout the UK. It was founded in 2014 and was acquired by the current owners in 2021 and while the business was attractive and fundamentally sound it was apparent that certain aspects were less optimal and so tough decisions and structural changes were made in the business’ operational processes.

These changes have come at considerable financial cost to the current owners but has resulted in a leaner and more cost controlled business with robust routines regarding product returns, stock management, warehousing and payments.
Examples of such measures include:
• Large quantities of stock have been valued down/disposed off/unaccounted for previously (This has reduced margin for the current FY)
• Cancelations which related to previous FY have been picked up belatedly and refunded in the current year (Further increasing the cancellation %)

• Decision to tone down the sales volume whilst structural measures were carried out (no reason to accept orders that cannot be fulfilled)
The current owners now strongly believe that the business is well placed to take advantage of its new form and structure.
Much has been done by the current owners to improve operational matters and positive trading results are now in evidence and reliably forecasted; the business is perfectly positioned for growth

Well known for its wide selection of rugs from well known designers and popular brands, this retail brand name is a first choice option for many customers when searching for a rug online with more than 1500 Interior Designers across country who buy regularly. Its presence at the forefront of advertised search results in search engines, combined with outstanding customer reviews leads to significant customer traffic and its product portfolio has always performed well.

Essentially the hard decisions have been taken and their impacts absorbed, its now very well placed to consider marketing mix elements, in order to enable this business to meet its considerable potential.

Current marketing tools include:

Paid search
Paid Social
Organic Social
Organic Search/SEO
Augmented Reality

Current staff include five full time employees and one Director on a retained basis. The annual payroll is approx. £139,000 per year.

Reason for sale

The business was acquired in line with a strategy that assumed that this business’ operational needs could be met by the current owners management team which are also resonsible for managing its portfolio of other consumer brands, in another sector; however it became apparent that the specialist nature of retailing high-end rugs is inconsistent with the trading style of the other portfolio and this retail brand is nonger considered a suitable strategic fit.

The decision has been made to offer the business for sale to any with the experience and resources looking to engage with the contemporary home living sector or for someone already in the sector looking for a strongly performing, additional outlet to add to their existing business activities.

Key Considerations
• Well known and respected UK online retail brand
• 1500 Interior Designers across country who buy regularly
• Small team capable of business augmentation
• Excellent reputation and trading history
• Excellent platform for diversification
• Streamlined operational processes, and advanced technologies
• Excellent stock and inventory controls
• Substantial turnover and attractive future profit margins
• Numerous expansion opportunities


On the basis that the Business is being sold on a zero cash-zero debt basis, full and up to date management accounts are available upon request.

Asking Price:

Offers in the region of £2,000,000 are invited for 100% of all the issued capital of the company. There will be a £ for £ adjustment to the final sale price to reflect any upward/downward movement away from the target net asset price.

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