Day Spa

Day Spa

Location: Bangkok

Listing ID# BKK14056

5,500,000THB

BUSINESS SUMMARY

The owner of this chain of spas has recently found that managing three separate enterprises has become too taxing, especially as she has recently become pregnant. The Flagship Day Spa is therefore being offered up for new ownership. A high profile location next to one of Bangkok’s main Skytrain stations was chosen for the venture around eight years ago (a Metro station is also just a short walk away). Monthly rent was negotiated at 380,000 baht for large five storey premises measuring 1,500 square metres, and a large workforce numbering some 45 employees (most working on a part time basis, and paid on commission) was comprehensively trained. The lease is not due to expire until 2013, and can be renewed until 2019.

Recent financial results have been very positive, with gross sales rising by around 2,000,000 baht each year to the stage where 12,000,000 baht was taken in during 2008. Net profits have risen accordingly, with proceeds of 1,000,000 baht in 2006 rising to 1,500,000 baht in 2007 and 3,000,000 baht in 2008. Three of the floors can be further developed by introducing a spa concept with yoga and suites for the exclusive use of spa members. A restaurant on the top floor providing fruit, juices and salads, served in an al fresco terrace setting, is also envisaged. The owner is looking for a full buyout, but would consider a partnership if a suitable partner wished to help in the redevelopment of the property. Assets valued at 1,000,000 baht are included in the sale. Asking price: 5,500,000 baht.

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