1. What is Schoolmart ?
Schoolmart is a consortium of architects, manufacturers, traders and school innovators involved in school improvement. Schoolmart facilitates setting up schools, school acquisitions, mergers, joint ventures, total school infra supplies [factory to school model]. There is more to Schoolmart visit www.schoolmart.in.
2. What is Sschoolmart’s role? How is Schoolmart involved?
Most of the schools available for acquisition are partner schools of Schoolmart. Schoolmart handles such schools exclusively on a mandate from the school.
3. Does Sschoolmart work like any real estate mediator or broker?
No. Real estate dealing is only about the property. Schoolmart does more than that. Schoolmart works on due diligence of school property, previous present operations, pending issues, accounts, performance issues, YOY growth, valuation etc.
4. What are mandatory conditions to know more about schools available for acquisition/ JV/ lease?
We strictly work in confidence with school management. as per school mgmt guidelines and mandate. We need the following information:
- buyer’s profile;
- expression of interest from a buyer;
- source of funding;
- previous school mgmt experience if any;
- political connections if any;
- future plans after school acquisition.
4. Will you send us the list of schools you have after we sign mandate and send you?
We will send you a brief list of schools with basic details. you can select from the list and let us know your EOI for more details.
5. Does Schoolmart negotiate on our behalf?
Yes. Schoolmart and its team of legal experts, auditors, company secretary would involve in the acquisition process
6. How do we arrive at a school value?
There are various issues to be considered for school valuation:
- student strength;
- YOY growth;
- location potential;
- consistent performance;
- next 3 years projection;
- brand value;
- sports infra;
- movable assets.
7. How do we arrive at school property value?
Property value depends on:
- society owned land or individual owned;
- prevailing market price;
- built-up area;
- age of the building /depreciation;
- high tension wires;
- violations if any as per govt rules;
- panchayat/ development authority vicinity;
- regulatory approvals;
- upcoming projects nearby.
8. How do we calculate royalty to be paid to a profit-making school?
It purely depends on school mgmt decision. A school is a not for profit organization as per govt mandate. so it depends on school mgmt and prospective buyer to negotiate on such issues with mutual consent.
9. What details does Schoolmart need from the prospective buyer?
- duly signed NDA [non-disclosure agreement] hard copy;
- buyer profile;
- mandate to appoint Schoolmart and consent to pay its service fee;
- willingness to bear all the expenses arising out of recce /travel and any expenses arising out of the acquisition process;
- one point contact/communication model.