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Sale of a small company – a well-known jewelry manufacturer in Ostrava

Small business (up to 1 million EUR)

Sale of an 85% stake in the s.r.o..

Sold

Price: By agreement
Region:
Country: Czech republic

The main characteristics of the company

  • Year of foundation: 2006
  • Owners: 85% – individual; 15% – individual
  • Share capital: 2 000 000,- CZK

Activities:

  • Production of jewelry made of gold, platinum, diamonds and precious stones
  • Wholesale and retail sale of jewelry
  • Serial production of costume jewelry
  • Sale of investment diamonds

Current number of employees: 0 (production is mothballed)

Production location: Ostrava is the third most populous city in the Czech Republic

Registered office: Prague, where the office for the sale of investment diamonds is located.


We offer for sale a company, a limited liability company, which is known for the production of individual and serial jewelry, as well as jewelry not only in Ostrava, but also in other regions of the Czech Republic.
The company is also engaged in the sale of investment diamonds, conducts seminars on diamonds with the participation of Dr.E.Huhle (Germany).

The main area of activity is the Moravian-Silesian Region, where the company has several branches in Šumperka and Ostrava.

An important stage in the commercial activity of the company was the beginning of cooperation with trading partners from Israel, which ensure the export of products to Israel, Slovakia, Poland, Germany.

In the field of jewelry production and processing of expensive metals, the company focuses primarily on small-scale production of souvenir jewelry, advertising and gift items under the order.

Notable custom-made products include the following examples:

  • Medals, rings and prizes for the IDSF European Ballroom Dance Championships in Ostrava
  • Gold rings, cufflinks and more for the hockey club Vítkovice Ostrava
  • Mayor’s Chain and Signs for the Magistrate of Ostrava
  • Advertising and souvenir products under the logo “Ostrava!!!”

Current economic situation.

Currently, production has stopped, but the company owns all the main technological equipment (see photo), including grinding machines, furnaces, etc.

The company’s assets also amount to a claim against the tax inspectorate in the amount of CZK 8.5 million due to the non-refund of VAT on foreign supplies (the lawsuit has been filed in court and is expected to be decided in the coming months), as well as the right of claim against the supplier – a Prague company in the amount of about 10 million crowns.

Only about 20 million Czech crowns.

Liabilities include:

Trade debts (loans) in the amount of about 35 million kroons, which can be repaid from creditors for a much smaller amount.

Debt to the State Social Security Inspectorate in the amount of CZK 850,000.

Terms of the transaction for the sale of the company:

The share of 85% in the company is sold for CZK 100,000 with the obligatory condition that the new owner will assume the obligation to repay the debt in priority in respect of the State Social Security Inspectorate in the amount of CZK 850,000.

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