Bright future to be found in the gutter

LeafScreen is the longest-serving external gutter protection product in NZ. Photo / Supplied

The exclusive New Zealand distribution rights to LeafScreen, a product that protects gutters from becoming clogged with leaves, twigs and other debris, are being marketed by Graeme Moore of Affiliated Business Consultants.

"This is one of the best businesses I have seen in a long time," Moore says. "There would be few New Zealand homeowners who have not experienced blocked house gutters or downpipes at some time.

"Leaky home issues and intense media scrutiny of the problem have also highlighted the importance of having effective building water removal systems and the potential market for this service is enormous.

"LeafScreen is listed for sale at $525,000, promising a fantastic return on investment, but it still allows a lifestyle to which most people would aspire. "It wasn't always this easy but, as they say, the hard work has been done. The business provides its owner with a very generous cash surplus, on a turnover of $650,000 plus per annum, that is still short of its potential."

The LeafScreen System uses a UV-stabilised polyethelene mesh with a diamond pattern that ensures rainwater is directed through the mesh while screening out leaves and twigs and allowing fallen debris to blow away. It also prevents birds and vermin from entering roof gutters.

LeafScreen is advertised as being manufactured to the highest specifications from high-density, industrial-strength virgin polyethelene, with first-grade UV stabilisers, by Tapex Pty Ltd of Australia, which is an ISO9002 accredited manufacturer under Australian Standards 2070.For water collection purposes, nine of the colours meet AS2070 Food Contact Standards.

Currently run as a home-based business on a small lifestyle block in Clevedon, Moore says LeafScreen could easily be run from any location with due consideration to the requirements of the stock.

The storage, processing and dispatch of stock is from a double-garage facility of about 150sq m and an office area of 36sq m. The business model fthe supply and installation services throughout New Zealand is via a network of salespeople, distribution agents and contractors.

Set up by current owner Deborah Alexander in 2001, the exclusive distribution rights for New Zealand are provided by Tapex, which was established in 1881 and is still a family-owned company.

The mesh product itself has proven itself, with over 15 years of product use in Australia and over eight years in New Zealand.

"LeafScreen NZ Ltd is the longest-serving external gutter protection product on the New Zealand market," Moore says. "The LeafScreen product carries a 10-year manufacturer's [Tapex Guttermesh] warranty and LeafScreen is the only spouting protection company that has been accepted into the Roofing Association of New Zealand.

"The product is sold and installed predominantly in Auckland, so there is significant potential for the business to be marketed throughout New Zealand using the Auckland model.

"The owner has established distribution agreements in the Waikato, Coromandel, Taupo-Bay of Plenty, Wellington, New Plymouth, Manawatu and Canterbury areas. "In Auckland there are three contract installers and three commissioned salespeople. Installers are paid on a per-metre basis and salespeople are paid on a commission basis. Leads are also obtained from attendance at home shows, field days and Yellow Pages advertising. "LeafScreen also fosters a considerable amount of word-of-mouth and referral business," Moore says.

"There aren't too many businesses that have grown over the last six months like this one has. Most people would say that the market is just starting to pick up, with predictions the upward trend will continue.

"This is a business that offers the possibility of major expansion initiatives."