Business For Sale

(*BISINZ) Established in 2002, AdventureWorks Limited was established in collaboration with Unitec New Zealand for the purpose of providing Adventure Based Learning and Training Programmes to clients of AdventureWorks, as well as providing associated facilities and services to Unitec and their staff involved in various adventure-based sports programmes.

The terms and conditions of this collaboration are incorporated into an ‘ Agreement to Lease and to Provide Educational Services’. This Agreement commenced on 5th September 2002 , and has a final expiry date 18 years and 365 days subsequent to  commencement. Pursuant to this Agreement, AdventureWorks undertook to design, build and fund an Adventure Ropes Course on the Unitec campus, situated at 139 Carrington Road, Mount Albert, Auckland.

Income to AdventureWorks  NZ Limited is derived from the provision of Adventure Educational Courses to school aged students as well as tertiary aged students and adults. Certain assets, intellectual property and associated goodwill owned by the company [ as identified in a separate Intellectual Property Schedule], are for sale by negotiation.

There are two purchasing options available to the prospective purchaser. – each has a different price expectation ie.

Option 1 @ $330,000.00

Option 2 @ $370,000.00.

Both purchase options pertain to the sale of a Leasehold Going Concern for the purposes of section 11[1] [m] of the Goods and Services Tax Act 1985, and accordingly, the transaction evidenced by an agreement for the sale and purchase, will be zero-rated for GST purposes.

Although both purchasing options include the purchase of a full plant and asset schedule, the difference in price between the two options is determined by the level of additional training provided to the purchaser as well as the amount of material supplied in support of the star courses with respect to course delivery, assessments and customised programmes / information pertinent to existing clients.

Included in the plant and asset schedule, is the AdventureWorks challenge Ropes Course that has an independent replacement valuation of just over $170,000.

At a purchase price of $370,000; the EBPIDT [Earnings before proprietor’s drawings, interest, depreciation and tax ] return on investment may be calculated as 23.97%

AdventureWorks New Zealand is required to comply with various pieces of legislation under current law.This is effectively facilitated by a comprehensive ‘Local Operating Procedures’ manual ‘. The manual is protected under copyright law and may continue to be used by the new owners of AdventureWorks.

Consistent with the purchasing option selected by the purchaser, there will be a period of vendor assistance provided subsequent to the settlement date, of between one to three months. The purpose of such assistance will be to provide management consultancy services pertaining to all aspects of the business.

This is a unique opportunity to purchase a well established business within the Adventure Education Sector, with a reputation and client data base that has taken some 18 years to establish.

The location of AWNZ’s Challenge Ropes Course right on the Unitec campus in the central suburb of Mt. Albert, which is in close proximity to Auckland city’s population of over 1.3 million; ensures that clients from the Auckland area have easy access to the facilities. AWNZ’s intimate proximity to Unitec’s large student body [over 19,500 students from over 80 countries study at this institution] makes AWNZ a natural choice in adding value for all courses studied, as well having appeal to a wide variety of client groups from the Education, Community and Corporate sectors.

The potential to further develop this business by incorporating other courses focused on the ‘Wellness Industry’ that explores the correlation between physical health and the psychological wellbeing, is becoming increasingly more apparent. With its’ holistic approach, this business is well placed to explore these additional development opportunities.

Immigration to New Zealand via Business Investment.

Residence status to New Zealand may be pursued through the Long Term Business Visa [ LTBV] category.The acquisition of AdventureWorks by a foreign purchaser who meets all other relevant requirements as set out by the New Zealand Immigration Service, may significantly assist in the eventual final LTBV application. For further details, refer to www.bisinz.co.nz, and refer directly to Erika Bult for further assistance.

For further information on AdventureWorks, please contact:

Erika Bult AREINZ
Century 21 Business Broking Consultants MREINZ
Tel. [09] 372 2828 or [021] 619 593
bult@xtra.co.nz