Listing ID: 66570
Business Overview
This business is a trademarked brand selling exclusive journals, diaries and stationery through its Amazon Storefront. The company has been committed to providing high-quality, stunning, and well-priced journals, diaries, and creative stationery solutions designed for young girls. Sales are predominantly generated through Amazon with products shipped direct from suppliers to either 3PL fulfillment centers or Amazon FBA.
The brand is well protected with numerous trademarks, patents, trademark phrases and copyrights registered and/or pending. In 2021, this business saw significant growth with sales and profits up 400+% over 2020! The company just raised prices in December 2021 which will generate increased sales for this year. With a modest growth projection of just 100% increase over 2021, the business would reach over $400k in profits for 2022!
Key Benefits
• Top selling products regularly hold the Amazon’s Choice and Amazon’s Best Seller Badge
• High Amazon Ratings and Seller Feedback Score
• Recently began to sell on Walmart.com
• VAT registered – ready for expansion into international markets
• Two strong products recently launched
• New products in progress to launch
• Well-protected brand: Intellectual Property, Trademarks, Patents, and Copyrights
• Fully stocked and ready for a strong 2022
Financial
- Asking Price: $895,000
- Cash Flow: $215,535
- Gross Revenue: $1,421,083
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2018
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Home Based
Yes
Pursue Other Interests
Building on its established foundation, this business is positioned for a new owner to take the brand to the next level of growth. Some strategies for future growth include: • Expand the current product line into Europe and other countries • Grow social media and become a “go-to” resource • Create a Facebook group and offer stationary related contests • Launch more SKUs and diversify with complementing products • Grow Walmart.com • Grow off-Amazon on Shopify or WordPress • Expand into retail stores and gift shops
This Business Is Home Based
Additional Info
The company was founded in 2018, making the business 4 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals resolve to sell operating businesses. Nonetheless, the real reason vs the one they say to you may be 2 completely different things. For instance, they may claim "I have a lot of various obligations" or "I am retiring". For many sellers, these factors are valid. But also, for some, these may just be justifications to try to hide the reality of transforming demographics, increased competitors, recent decrease in profits, or a variety of various other reasons. This is why it is really vital that you not rely absolutely on a seller's word, however instead, utilize the vendor's solution combined with your total due diligence. This will paint a much more practical image of the business's current scenario.
Existing Debts and Future Obligations
If the current company is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous companies finance loans in order to cover points such as supplies, payroll, accounts payable, etc. Remember that occasionally this can imply that profit margins are too tight. Many organisations fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that have to be met or might result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in brand-new customers? Often times, operating businesses have repeat customers, which form the core of their day-to-day profits. Particular variables such as brand-new competition growing up around the location, roadway building and construction, as well as staff turnover can affect repeat consumers and also negatively affect future profits. One vital point to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business often, the higher the opportunity to build a returning consumer base. A last idea is the general location demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the regional typical house income impact future earnings prospects?
