Convenience stores are among the most asked-for businesses on our books. Buyers range from first-time owners to experienced operators adding another store, and most of them look for the same few things.
Location and footfall
A busy residential street, a parade with parking or a spot near a school or station gives a store a steady flow of regular customers. Buyers will visit at different times of day, so it helps to know your busiest hours.
Turnover they can trust
Buyers want to see takings that are steady or growing, backed by accounts and till reports that match. Shop sales, services income and any wholesale or delivery trade are easiest to judge when they are shown separately.
Services income
A Post Office counter, National Lottery terminal, PayPoint, parcel collection and a cash machine all bring people through the door. Buyers value the commission they earn, and a Post Office transfer needs Post Office Ltd’s approval, so it is worth raising early.
Product mix and margins
An alcohol licence, a good chilled and fresh range, and a sensible split between low-margin lines such as tobacco and higher-margin ones all make a difference to what the store really earns.
Hours, staff and the owner’s role
Long opening hours are normal, so buyers look at who covers them. A store that runs on trained staff, rather than on the owner working every day, is easier to finance and worth more.
The lease and the building
A lease with several years left at a fair rent, or the chance to buy or rent the freehold, gives a buyer and their lender confidence. Accommodation above the shop is a plus for many buyers.