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Mamabulanjin Aboriginal Corporation (MAC) is pursuing a range of options for Indigenous joint venturers, co-investors and supporters or a consortium of Indigenous sole owners to buy the Roebuck Seafood business operating out of Broome. It would welcome contact with interested investors and supporters who want to help create sustainable Indigenous businesses through this enterprise in the Broome area. MAC is of the view that the purchase of the business is an important investment opportunity for the Indigenous community. Purchasing the business would provide access to two unique KGBF (Kimberley gill barra fisheries) licences entailing a successful wholesale and retail business. The business employs up to 12 people that profit share in the catch. The fishing wholesale and retail business is highly profitable with an outstanding capacity to increase its employment outcomes and return of profits to the investor. The business has an outstanding capacity to operate at low cost with a high return to the investor. The harder you fish the more you catch.
Background
Within the Broome region an opportunity exists to purchase a medium sized seafood wholesale and licensed fishing business. The business operates out of Broome snd consists of a wholesale business and retail seafood outlet. The business operates two vessels in Roebuck Bay and has a beach license at 80-mile beach.
Key points about the business include:
The business has the capacity to be sustainable:
- Buying the business would include two unique KGBF (Kimberley gill barra fisheries) licences which are unique and can be used from 80-Mile Beach to the Northern Territory border
- Unlike many parts of Australia fish stocks are under utilised - catch rates improving
- Key products are fresh, wild barramundi 8 tonnes per annum and threadfin salmon (both high value table fish)
- Product attracts high $ value in Eastern States
- Product has strong local market demand
- Wholesale/retail business can diversify into other products ie. Mud crabs
- There is the capacity to link up with a consortium of Indigenous fishers and fishing communities to market and distribute product
Other features of the North West Fishing Industry include:
- No competition
- Opportunity to expand
- Low technology fishing
- Potential for name branding "Broome"
- Excellent Indigenous employment outcomes
- High profile/cashflow wholesale/retail business
The business owns two KGBF licenses (Kimberley gill barra fisheries). This is a license to use gill nets from a boat up to three (3) nautical miles from shore. The licenses have some strict conditions set for Roebuck bay due to contentious issues arising from the perception of the recreational fishing public in relation to commercial fishing in Roebuck bay. These conditions close off areas at the mouths of estuaries and closes the fishery over the months of December and January. However, these two licences can be used from approximately north of the southern end of 80-Mile beach to the Northern Territory Border East of King River.
There are no quotas on tonnage taken only that the fishery is closed for a period in December/January. The business also leases a property that is licensed to process seafood and two vessels that are Licensed Fishing Boats (LFB).
This fishery is under exploited and could be improved substantially. The business has no competition within the Kimberley. The Roebuck Seafood's business could be a unique opportunity to invest for an Indigenous organisation.
This business could be very lucrative to the right owners and is a relatively low technology enterprise to operate.
Options
There are a number of attractive options for taking over and running this business.
Option A: A consortium of investors could buy the business and create incentives for skippers and crew that will provide the employees with the incentive to perform. The Indigenous investors would own the infrastructure and participate with management in the operations of the company.
Option B: An Indigenous organisation could work with a Joint Venture partner that has the capacity to provide capital and also comes with experience with the industry and technical expertise.
Option C: A consortium of prospective Indigenous skippers and crew could be financed to buy a shares of the business and operate as joint owners and managers of the business.
Option D: An Aboriginal corporation could buy the business as an investment and sublease the licences and business operations.
How much capital is required
Purchase price is negotiable and requires a valuation. Offers of around $1.5Million would be considered.
Management
We are currently considering one option to develop this enterprise as a Joint Venture investment with a working party.
If you are interested in developing this proposal please contact:
Neil Gower CEO Mamabulanjin Aboriginal Corporation (MAC)
Contact neil_gower@hotmail.com 08 91 921662 Mobile 0409522387
Lead Organisation/Agency
Mamabulanjin Aboriginal Corporation
Type of Mentoring Needed
Business Partnership
Enterprise Development
Joint Ventures
Amount of Funding Needed
AUD $1M - $2M
Type of Funding Needed
Joint Venture
Partnership
Venture capital investment
Subject(s)
Fishing
Region(s)
Western Australia - Kimberley
Most Recently Presented At
Yawuru Trading Floor, 19 May 2004
For further information
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