Business description

Travel Agency &
Air Freight Agency
Middle East & Brazil Specialists

This highly successful travel agency and air freight business was established by the current owners in 1994. Since that time it has developed to the point where it is the agency of choice in its locale, a busy, very cosmopolitan, multi cultural area of Central London. Being close to many apartment blocks and other residential locations, much of the business is generated from local people. They have proved to be loyal clientele: many clients purchase travel arrangements a number of times each year.

Reflecting the number of local residents with family connections in the Middle East, many flight bookings are made to the region. Specific relationships exist with the following airlines:

• British Airways
• Egyptair
• Qatar Airways
• Syrian Arab Airlines
• Royal Jordanian
• Sudanese Airlines

Destinations in South America, with an emphasis on Brazil are also popular, where a relationship with TAM is in operation.

The business operates as a traditional high street travel agency yet has developed a niche market as a specialist in the arrangment of air travel and tailor made itineraries. Many trips are organised to the Middle East and South America. However, there is a large volume of business to all destinations, both long and short haul. Eurostar ticketing is also popular.

The company also operates an air freight service, with daily deliveries to Heathrow Airport, for onward transfer to all worldwide destinations.

The agency is fully bonded with both ATOL and IATA.


Equipment

An up to date five terminal network is installed in the office.



Customer Service

The highest levels of personal and individual service sit at the heart of the agency’s client engagement strategy.

Financial Information

The business is being offered for sale on an ongoing concern basis: all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
The business is financially stable with no borrowing and enjoys high gross margins. It has shown consistent performance since trading begun. Current turnover is circa £1,500,000 per annum of which air freight services are circa £100,000 per annum.

Property information

Location:

Modern high street premises of circa 300 square feet are occupied by the business. In addition, the company has the use of a lock up garage which can used be for vehicle parking or additional storage

Other information

Expansion potential:

Areas for consideration which will drive growth in the business in the future include:

• Sales of a greater number of package holidays.
• Sale of travel insurance (special FSA regulations apply).
• More sales of car hire packages.
• Develop corporate market. Less than 5% of annual sales are from this important area which can be developed with additional effort and focus

Competition / Market:

The business utilises a professionally designed, hosted and maintained website. In addition regular advertisements are placed in local, Arabic newspapers. The magazine Leros is used for the Brazilian market. At least once per annum a mailing of circa 50,000 flyers is distributed by Royal Mail to local addresses. The business would undoubtedly benefit from the development and execution of a strategic marketing plan, addressing all the above activities.

Support & training:

A period of training, familiarisation and handover will be provided to ensure a smooth transition to new ownership

Reasons for selling:

This is a genuine retirement sale. A stage has been reached where the owners wish to retire and are offering the business for sale not only as an organically expanding going concern but with further significant growth potential.