1st of September, 2014
(8 years 5 months old)
Assets Included in the Sale
This listing is for an Amazon FBA business created in September 2014 in the beauty niche. The three Amazon Seller Central accounts feature 70 SKUs for a particular range of handmade beauty products. The business has shown both year-on-year growth and strong growth in recent months, despite the pandemic. It has Brand Registry 2.0 and a strong brand presence that sells across multiple marketplaces with an average rating of 4.7 from over 10,000 reviews on the US marketplace alone.
The business makes 100% of its income from Amazon FBA selling 70 SKUs with six more to be released this year. Amazon fulfills all orders, but there is a Shopify store included that directs customers to purchase on Amazon.
The products are sold on the USA, Canada, Mexico, UK, Germany, France, Italy, Netherlands, Spain, and Australian marketplaces, with around 90% of the sales coming from the US marketplace. Diversifying the sales across Amazon but also outside of Amazon to places like Walmart, Wayfair, and setting up a 3PL with the Shopify store, represent an expansion opportunity for the Buyer. The Sellers have been contacted about wholesale orders and by retail stores but haven't ventured into that space yet.
There are two suppliers for the business both of which are located in Europe. The Sellers have a good relationship with both suppliers who are happy to experiment with different colors and styles of similar products. These color and style variations are what make up the large number of SKUs.
Amazon PPC is used to drive traffic to the products. Expanding into other forms of PPC advertising could be a growth opportunity. The Sellers manage the PPC ads so that the EU sales stay below the VAT threshold. More information can be provided to interested Buyers.
One of the Sellers spends six hours a day, while the other spends three hours a day. There are no other employees in the business. The tasks include customer service which on average there is 1-3 Amazon Seller Central messages per week and roughly 1 support message a fortnight/month. They also take care of inventory management, PPC advertising, and managing social channels.
The included social media accounts are not hugely important in terms of traffic but the Instagram account has built up almost 10K followers. A lot of the content that features on the Instagram account is user generated which helps to build the brand. They have an engaged audience and are contacted fairly regularly from users within the industry looking to review their products. Establishing relationships with influencers could help a Buyer to improve the business further.
*We’ve decided to use an 8-month average of net profit for the valuation because we felt that a 12-month average did not accurately represent the current state of the business.
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The Sellers are willing to provide 30 days of email support and two Skype calls to ensure a smooth transition
The Sellers would like to sell the business to start or buy other businesses
Work Required Per Week: 40 Hours
Private Blog Network (PBN): No
Domain Type: .com
Platform: Amazon FBA, Other
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