Investment Project for International Jewelry and Art Centre

Opportunity Snapshot

  • Country: Russia Russia
  • Industry: Retail Trade
  • Stage: Start-up
  • Investment size: $15,000,000 / min. $15,000,000
  • Type of investment: Debt, Equity

Investment Opportunity

Creation of the first inherently International Jewellery and Art Center. Investment funds needed 15M Eur. Investor's participation in the business is acceptable.

SUMMARY

The project is designed in the light of experience in this business for over 14 years.

The proposed business project to create an international jewelry and art, trade fair wholesale-retail center Ltd " Злато" in Saint Petersburg involves a completely new format for the organization of this business.

Expected to provide comprehensive services to organizations and people in search of as jewelry mass production of mass demand, and individual items of jewelry art, plastic art, paintings and antiques. Accomplishes this by permanent organizing of exhibitions, sales of leading manufacturers with the change of exposure over each month. Also used with other innovations of trade, which the author has introduced and successfully used in his own trade in another region of Russia, where he lived before. But after moving to St. Petersburg, and has repeatedly participate in the annual all-Russian exhibitions, found that in St. Petersburg, and generally in the Northwest region of Russia, nobody uses such integrated approach.

The project is relevant, despite the crisis, as only 20% of turnover of 600 of the most successful jewelry stores located in different regions of Russia decreased, which with are supported 15 years of stable partnerships.

The business project is being implemented with the involvement of investment funds.
Finance-Investment-15, 0 million $ for 3 years with equity participation of investors of more than 70%.
With a decrease in equity up to 50% in order to return the investments on the basis of the third year of the operation. Of the $ 15.0 million investment - $ 4.5 million (30%) will be directed to purchase real estate area of 300 sq.m. in downtown of St. Petersburg for the organization of retail trade store; $ 9.0 million (60%) will be used for acquire of commodity circulation liquid asset for the wholesale trade. Will be redeemed the most liquid product with minimal risk (in the price of products - 85% of the price is gold).
To increase acquire of commodity asset of volume and variety, without participation of finances, will be involved commission products of worth $ 9.0 million from 50 leading jewelry companies in Russia.

Results for 3 years ($ million):
- Gross revenue ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... .... 227.444
- Trade margin ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... 35.970
- Up to 3 years, the assets of the company will be:
- Cash in the amount of $ 30.45 million (of which, with the return of investment is a balance of $ 15.45 million);
- Real capital in form of "hyped business" - a retail sales store, estimated much higher than the original book value of $ 4.5 million.

Interested investors can contact us on Merar for more information.

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