SARL Pharmacie Jacquinot

Presentation of the company

Created in 2006, SARL Pharmacie Jacquinot is active in the pharmaceutical sector. The company, managed by Fabien Jacquinot, has 3 employees and is based in Jussey. Located in the heart of a small village close to other shops, a college and a kindergarten, the pharmacy is open from Monday afternoon to Saturday from 9am to 7. 30pm.

The company’s main activity is:

• the sale of medicines and parapharmacy products.

The company works with with loyal and regular customers.

The incumbent, Fabien Jacquinot has been working for 25 years, he is accompanied by 2 pharmacy dispensers and an apprentice.

Project Description

The company requests a loan of 45 000 € over 36 months to finance renovation work in the pharmacy. This project will be realised next month.

The amount offered on the platform is limited to 22 050€, which is in line with the regulatory limits.

Analyst’s Opinion

With a turnover of 991 000 € in 2018 and an experienced team, the company has a good track record combined with a two-digits operating margin.

In 2017 the decrease in turnover is driven by a decrease in the price of medicines over the past 10 years. In avril 2018, 2 new doctors arrived in the city, located on the same street as the pharmacy, which allows for increased attendance. The forecast is based on the historical performance driven by a new dynamism linked to the arrival of 2 new doctors in the same street and the closing of the third competitor in juilly 2018.

The borrower has a correct repayment capacity with a forecast FCCR (Fixed Charge Cover Ratio *) at 1,16 and a strong financial structure, with a forecast net debt / ebitda ratio of 0,62 and a net debt / shareholder equity of 17%.

The analysis of the project leads to a credit rating of C and a 7% annual interest rate.

*The multiple of FCCR at 1,16 means that the company has a safety margin of 16% relative to its ability to repay its credit maturities.

The expert opinion is given as an indication on the basis of the elements provided by the project holder and information from our databases (External data provider). This opinion is only an element of reflection in the decision making of a lender to participate in the financing of a project.

Strong points:

• Good historical performance based on diversified client base.
• Correct repayment ability with a forecasted FCCR of 1,16 reinforced by the support of banking pool.
• Strong experience of the pharmacist manager.

Points of caution:

• Activity subject to changes in social security reimbursement policy and supplementary schemes.