We present the first VI CCD photometry for the Sculptor group galaxy ESO 54
0-032 obtained at the Very Large Telescope UT1+FORS1. The (I, V - I) colour
-magnitude diagram indicates that this intermediate-type dwarf galaxy is do
minated by old, metal-poor ([Fe/H] approximate to -1.7 dex) stars, with a s
mall population of slightly more metal-rich ([Fe/H] approximate to -1.3 dex
), young (age 150-500 Myr) stars. A discontinuity in the I-band luminosity
function is detected at I-0 = 23.44 +/-0.09 mag. Interpreting this feature
as the tip of the red giant branch and adopting M-I = -4.20 +/-0.10 mag for
its absolute magnitude, we have determined a Population II distance modulu
s of (m - M)(0) = 27.64 +/-0.14 mag (3.4 +/-0.2 Mpc). This distance confirm
s ESO 540-032 as a member of the nearby Sculptor group but is significantly
larger than a previously reported value based on the Surface Brightness Fl
uctuation (SBF) method. The results from stellar population synthesis model
s suggest that the application of the SBF technique on dwarf galaxies with
mixed morphology requires a detailed knowledge of the underlying stellar co
mposition and thus offers no advantage over a direct distance measurement u
sing the tip of the red giant branch as distance indicator. We produce the
surface brightness profiles for ESO 540-032 and derive the photometric and
structural parameters. The global properties follow closely the relations b
etween metallicity and both absolute magnitude and central surface brightne
ss defined by dwarf elliptical galaxies in the Local Group. Finally, we ide
ntify and discuss a non-stellar object near the galaxy center which may res
emble a globular cluster.