OWNERS WELL PAST BBF DATE
The Green Shop Berwick Limited, is now up for sale.
Over 28 year track record and we really want to see that continue.
Extensive premises: over 120 sq metres of floor.
Solar Panels. All led lighting. Full coverage CCTV
Certified Organic by the BDA, UK Org 06, Licence no. 411
Steady growth since 2011. Came out of 2 year covid in good shape.
2021 turnover ~£500,000.
For sale as a going concern. With or without the premises. With or without the flat above.
PROPERTY
The buildings are Listed at Grade II. The property consists of a two-bedroom flat above the shop and the shop itself. Both are Leasehold. The flat has a gas supply; the shop does not.
The flat is let by way of an Assured Short-hold Tenancy, is in Council Tax band A and has an EPC of ‘D’ (valid until 6.10.2029).
The main front shop sits below the flat. Further away from the street is a formerly open yard, long-since roofed-over and, at the rear, rising almost to the level of The Maltings Arts Centre, are two smokehouses and more retail/office space. The smokehouses were used by generations of Ralph Holmes & Sons Ltd, smoking Tweed salmon – finally ending, we think, in the late 1980s.
As well as smoking salmon, the Raffy Holmeses were wet fish merchants, which explains the sloping floors; all water draining to the gutters on Bridge Street.
We bought the premises in 2001 from Exley Brothers shoe repairers who had separated flat from shop and created the existing two entrances to 28 and 30 Bridge Street. The entrance to 28 Bridge Street (the flat) doubles as the Fire Exit from the shop.
EPC
We recently received the Environmental Performance Certificate for the shop: Energy rating ‘D’ (valid until 27.4.2032).
Being for the most part very old stone walled buildings, our EPC is poor compared with a modern building. ‘Retail’ also gives us bad marks as the assumption is that the front door is frequently open (darned right!). Added to which we have portable electric heaters and electric water heating.
This is all somewhat mitigated by having 16 solar panels generating 4kWh, all LED lighting (change from strip lights completed in May this year) and the assessor was ‘delighted’ with the roof we put up ten years ago (replacing asbestos) between the front two-storey building and the smokehouses to the rear.
Every time you view this picture you’ll notice it is still sunny. That’s solar panels for you! Marvellous, really, what they can do these days.
There are options to significantly improve the energy performance of both the shop and the flat.
THE BUSINESS
The Green Shop Berwick Limited succeeded The Green Shop, which was a partnership of Ross and Pauline Boston starting in 1993. The decision to become a limited company in 2012 was taken with one eye on our future departure from ownership. To buy the business now, the buyer would purchase our shares in the company.
At the time we had toyed with the idea of becoming a cooperative but were persuaded that a Ltd Co would be easier to eventually sell and that it was simpler to turn the Ltd Co into a coop, should we so choose, than work the other way round; we went for flexibility.
The shop is on Berwick’s best shopping street, in the oldest part of town and directly opposite the entrance to a ‘free’ car park. As a ‘Location vs Costs’ site it could not be bettered.
Over more than 28 years we have built-up a strong business with an excellent reputation, not least for integrity.
The business has a licence for alcohol off-sales, in Ross’ name. We are also certified Organic by the BDA (Biodynamic Association: GB-ORG-06) for the sale of Organic fruit & veg and for the processing (bagging-down and retailing from hoppers) of Organic produce.
These licences will not not transfer with ownership; to continue with them, new owners would need to apply on their own account. We have made very little use of either licence in marketing but think that both have great potential to draw business, particularly the latter. Definitely worth pursuing.
We survived the financial crisis of 2009/10 and came out stronger. We survived two years of Covid without borrowing money, accepting grants and without taking our full options on furlough. Not only did The Green Shop largely finance it’s own survival through Covid, but it still has no debt and our turnover figures suggest that we are again performing as we would have expected had Covid not happened.
The Green Shop represents an opportunity to build on its rock solid customer base – with new innovative management, we see The Green Shop becoming more profitable and more efficient. The Green Shop as it is now is an ideal platform from which to develop into new areas and new sales opportunities.
We firmly believe that The Green Shop has enormous potential for growth.
The Green Shop Berwick Limited is vat registered, banks with The Co-op Bank and gets it’s power from Ecotricity. [The flat’s tenants are free to get their own contracts; gas and electric both currently with Octopus Energy, I believe.]
VALUATION
The ‘Fixed Assets’ include all fixtures and fittings, shelving, heaters, stationary, records, till, computers, web presence, etc., etc. – everything, including a ’64’ registered, diesel, Vauxhall Combo panel van, with under 55,000 miles and mot’d from 31st May.
For the outright purchase of the trading business including Goodwill, Fixed Assets and all of the property (including the flat) we are asking £320,000.
Please note that this does NOT include Stock, which would have to be calculated and agreed at the time of sale. For reference, our annual stock take on 31st December can show the cost price of stock as anywhere between £60,000 and £80,000.
THE SALE
It is not our intention to see the business close and we have no reason to sell other than a feeling that the time is right, that the business would benefit from new impetus and that having all the usual aches and pains that come with our age, which we know just won’t get better, we should try to leave now. Our goal is to see the business continue beyond our tenure.
We would prefer to sell the business and the properties together, to one buyer at one point in time.
FURTHER INFORMATION
The last 5 years Profit & Loss figures are available to anyone showing a serious interest, as will be full acccess to our accountant.
A sample of our Contract of Employment is similarly available. Please note that any sale of The Green Shop Limited is reliant on our staff continuing in their employment.
Two documents relating to the shop’s EPC are available electronically (The Flat’s Report is on paper only).
The Valuation report is available for anyone interested in taking this further, but they will surely have their own valuation done anyway.
We have measured the useable retail area at 114sqm as an absolute minimum. The EPC reports a 235 sqm useable floor area and the valuation (working from £/sqm) gave a similar figure to that. Take your pick.
To our figure you can add 24sqm of possible storage in the two smokehouses, 1x 6 and 1x 3m lengths for shelving on either of the long sides of a triangular shaped storage area which could be brought into retail. Toilet and kitchen having 7sqm between them. An upstairs office/storage of 21sqm.
The flat is on a rolling 6 month assured tenancy. Current rental income is £***.** per week (figures available to a show of serious interest).
Covenants and restrictions only affect the interaction of the shop premises and the flat, not with any adjoining properties. They cover the rights of each to the use of the passage, which is the only access to the flat and the shop’s back door. It is also part of the shop’s designated fire escape route.
The van is registered to the business, mot to 31.5.23 and will be included in the sale “as seen”.
HANDOVER
The question of ‘Handover’ will undoubtedly arise.
We would be available and willing to answer any questions about our custodianship of The Green Shop for a short period following the sale (our knowledge and experience will quickly become outdated).
But we would imagine and advise that whoever takes over find their own way as soon as may be.
We do realise that it could be very valuable to work alongside new owners especially if they have no prior experience of retail. It should be stressed here that we probably do not run the shop in any normally accepted professional way – and that is one improvement that a gain could be immediately made from – but we do run it!
All that said, we are flexible and could give new owners as long as it takes. Negotiable.
Everything is negotiable!
Regarding the sale of business, shop premises or flat please ONLY contact us by e-mail shopgreen@gmail.com and title your message SALE. Thank you.
The Green Shop Berwick 