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Annual turnover

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  • Mandate: 37032
  • Added: 09 Jul 2025
  • AFS
  • 14

Agri business selling produce to end user - Strong cashflow, low overheads

Khomas, City of Windhoek
14
Mandate 37032
Added 09 Jul 2025
N$ 3,900,000* NAD
Stock: N$ 500,000
Assets: N$ 1,900,000
N$ 241,511 NAD
Ferdi van Greunen
(PRINCIPAL)
Aldes Namibia
Windhoek & Central
Windhoek & Central
Summary

Profitable agricultural business with a strong cash flow and minimal overheads. This well-established farm produces high-demand crops with efficient, low-cost operations and strong market positioning, offering a lucrative opportunity for investors or agribusiness enthusiasts looking for a reliable income stream

SELLING PRICE AFS
N$ 3,900,000* NAD
Stock: N$500,000
Assets: N$1,900,000
N$ 241,511 NAD
Summary

Profitable agricultural business with a strong cash flow and minimal overheads. This well-established farm produces high-demand crops with efficient, low-cost operations and strong market positioning, offering a lucrative opportunity for investors or agribusiness enthusiasts looking for a reliable income stream

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How long has the business been established?
The owner initiated the setup of the business 5 years ago.

How long has the owner had the business?
Owner and wife established the business in 2020 and it has been profitable within the first year.

Fully describe this property and its income earning activities.
The property which the business operates from is 5.4 hectares with 1 hectare being used for the business.
The businesses earning activities can be summarized as selling strawberries to private and public clients, and also charging an entrance fee and "picking fee" for clients who would like the experience of picking their own strawberries.

What is the approximate age of the buildings?
The buildings are 4 years old with solar power which powers the facility.
The major asset of the business consists of the tunnels erected for the farming activities.

What is the zoning of the property and what can be developed thereon?
The zoning of the property is agricultural.

What is the erf size and the size of the buildings?
The erf size is 5 hectares and the size of the buildings are approximately 20 square meters

How does the business operate on a daily basis?
The business activities can be summarized as planting, picking and supplying supermarkets and private clients with strawberries.
The owner arranges and organizes the day-to-day operations according to the daily workload - whether it be planting, maintaining or picking the strawberries for customers.

Once the workers are on site, the owner assigns the work and oversees everything in a fairly hands-off manner.
The delivery of the strawberries to the supermarkets and private clients is done by the owner per orders received.

How are the clients attracted to the business?
The clients are attracted to the business via word of mouth and social media marketing through a Facebook site.

What Advertising/Marketing is carried out?
No specific marketing plan in place.
The owner is of view that the current demand form existing customers are more than ample

Does the business have any contract work?
The business does not have any contract work. Preferred supplier to many retail outlets in Windhoek.

Customers will place orders (daily) according to their needs

What competition exists?
There are 2 competitors currently in the market selling similar produce.
One is located Okahanja and the other near Rehoboth

The business' competitive advantage is that it is able able to produce strawberries 12 months of the year.

What are the seasonal trends?
The months of July and August tend to be "Slow months" where the market demand is not as strong.

Is the property being let by a letting agency?
No, the property is being let from an individual owner.
Solid lease agreement in place.

Is a copy of all the lease agreements on the property available?
We have a copy of the lease agreement on file.
The current lease period is of 9 year and 1 months (Starting 2020)

The lease agreement can be renewed.

There be an Option to Purchase the property withing the lease agreement.
It is our recommendation that the prospective Buyer also investigate the opportunity of acquiring the property.

Are there up-to-date Management Accounts available?
The managements accounts up to 30 September 2024 is available (on file)

What Balance Sheet and Income Statements are available?
The annual financial statements for Feb 2024 with Balance Sheet and Income Statements is available

What percentage of the business is cash/credit?
Mostly cash driven with solid / strong cashflow.

How could the profitability of the business be improved?
The business operates with very low monthly overheads
Implementing some workflow systems and automating some of the daily operations can improve the bottom line.

Is Seller finance available and for what amount?
Our client, indicated their willingness to consider funding a small portion of the selling price.
They are willing to accept terms of payment from a Buyer who meets certain criteria (screened by ALDES)

How could the income of the property be increased?
The profitability of the business can be improved in numerous ways, namely:
Increasing the production of strawberries by planting on the available hectares
Increasing the sales of the business through marketing and strategic partnerships
Increasing the number days where the business is open to the public for strawberry picking.
An entertainment area can be developed, coffee shop and a bar
Horseback riding, family fun events and the like

What is the total staff complement?
The business requires only 3 to 4 workers to take care of the daily operations (spraying / watering and picking strawberries)

Give a breakdown of staff/ functions/ length of service?
There be no need for highly skilled / trained labour force.
The business merely requires the workers to plant, maintain and pick strawberries

How involved is the Owner in running the business?
The owner is involved in the daily running of the business.
Main activities of the owner is to pick up of the staff that will be working for the day, general oversight of their work and arranging for the delivery of the produce to the retailers / supermarkets.

When does the current lease end?
The current lease ends in 2029.

Is there an option of renewal & what period?
Yes there is an option to renew the lease.
The lease agreement also provides for an option to purchase the property.

What is the annual escalation %?
The annual escalation is 8%.

What are the trading hours?
6 days a week, 9-5pm and on Saturdays to the public for picking.

What is the square meters of the business?
5.4 hectares of which 1 hectare is utilised.

Is a copy of the lease available?
Yes we have a copy of the lease on file.

What lease deposit and/or other surety is required?
A deposit of R 200 000 in place.

What are the main assets of the business?
The main assets of the business are the infrastructure and setup consisting of the tunnels and netting for the strawberry plants, the picking house, the pump house and the equipment.
The strawberry plants is seen as Stock - value at around R1 500 000.

What is their overall condition?
All equipment and assets are in a good condition and well maintained.

Strengths?
The Strawberries are disease resistant.
All year round production (not seasonal)
The Namibian Agronomic Board regulates the importing of strawberries.

Opportunities?
Currently the business is not meeting the market demand.
Acquiring the property.
More weekends for Joe-Public to visit the strawberry farm
Expanding the family-fun activities

What is the reason for the sale?
The owner is relocating to South Africa

Why is this a good business?
The business is able to produce year-round with the potential for expansion.
Established market
Strong cashflow with low overheads
Easy to manage

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AGENCY DETAILS

Aldes Namibia

2 members
5 mandates
Windhoek & Central
Klein Windhoek , Windhoek & Central

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