Buying a Business
The are many questions that may arise when buying a Retail Grocery Business. If you are unsure, please do not hesitate to ask.
Market Report – What is the Grocer Broker Market Report
The Grocer Broker Market Report is a regularly updated summary of Retail Grocery Business Opportunities currently or recently offered for sale. These opportunities are summarised in four categories:
- Auckland Businesses – Businesses located within the greater Auckland Area
- Supermarkets Four Squares and Superettte Businesses located throughout the rest of the country
- Commercial Freehold properties which have Retail Grocery Businesses as tenants
- New Sites Business Opportunities available in new commercial developments or existing empty or soon to be empty premises
Lotto – Buying a Business With a Lotto Franchise?
When can I apply for a Lotto Franchise?
NZ Lotteries Commission will not accept applications from Purchasers of an existing Lotto Franchise until such time as the Purchaser has entered into an Agreement for the Sale and Purchase of the business.
How do I apply for the Lotto Franchise?
Once you have entered into an Agreement for the Sale and Purchase of the business, we at the Grocer Broker will inform NZ Lotteries Commission who will in turn send directly to you, by Courier, the Lotto Application Pack
How long will it take to obtain Lotto approval?
NZ Lotteries Commission request that Purchasers should allow 10 to 12 weeks from time of application through to approval. Approval can be granted earlier but much depends on the Applicant. The application forms must be completed correctly and accurately with supporting documentation attached. The Application will not begin to be processed until this is done.
How much profit can I expect to make from my Lotto Franchise?
The Gross Profit Margin for Lotto sales is 7% of Gross Sales. From this amount NZ Lotteries Commission deducts “line charges” which relate to the day to operation of the Lotto terminal. Line charges equate to approximately 1% of Gross Sales. From the Gross Profit Margin the operator will service his own labour, electricity, maintenance and upgrade costs. Gross Sales vary considerably from location to location and can range between $4,000 to $20,000 per week.
What is a Lotto Franchise worth and how much should I pay?
Establishing a fair price for a Lotto Franchise will depend the 1. The average weekly Lotto sales. 2 The age of the setup. 3. Thge importance of the Franchise relative to other aspects of the business. For guidance on the value of the Lotto Franchise to any particular store please call us.