Listing ID: 84131
Available now is a highly rated skincare product line, with products that hold top ranked spots in several categories on Amazon. Company focuses on humane, ethical production and includes offerings such as toners, moisturizers, a 5% face wash, and spot treatment products.
With over 4,000 five star reviews on Amazon, a nearly 50% repurchase rate, and a 75% gross margin, this company is poised for further growth.
Investment highlights include:
• Expanding, attractive and diverse consumer base
• Proven, efficacious & results-driven product line
• Authentic, engaging and unisex brand platform
• Highly recommended and loved by consumers
• Products are dermatologist-tested at a third party
• Large, growing and loyal subscription base
• Significant untapped DTC and retail growth potential
Opportunities for growth include investment in expanding product offerings, increasing sales staff to expand beyond current retail platforms, and maximizing efficiency in production to increase net profits.
Purchase price includes inventory, and exclusive rights to the formula IPs, as well as company name and goodwill.
- Asking Price: $2,700,000
- Cash Flow: N/A
- Gross Revenue: $1,750,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $194,332
- Inventory Included: Yes
- Established: N/A
moving on to other projects
The sale shall include inventory valued at $194,332, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals decide to sell operating businesses. Nevertheless, the genuine factor vs the one they tell you may be 2 absolutely different things. For instance, they might say "I have way too many various commitments" or "I am retiring". For many sellers, these reasons stand. But also, for some, these might just be excuses to attempt to conceal the reality of changing demographics, increased competitors, recent reduction in earnings, or an array of various other factors. This is why it is extremely important that you not rely entirely on a seller's word, yet instead, utilize the seller's response together with your total due diligence. This will paint an extra practical picture of the business's existing scenario.
Existing Debts and Future Obligations
If the current company is in debt, which lots of businesses are, then you will need to consider this when valuating/preparing your deal. Numerous operating businesses finance loans in order to cover items like stock, payroll, accounts payable, and so on. Remember that occasionally this can indicate that earnings margins are too thin. Numerous businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future commitments to take into consideration. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with suppliers that must be met or may result in fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location bring in new consumers? Many times, companies have repeat clients, which develop the core of their day-to-day profits. Specific elements such as brand-new competitors sprouting up around the area, road building, as well as personnel turnover can affect repeat customers and negatively influence future incomes. One crucial point to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Obviously, the more individuals that see the business regularly, the better the possibility to build a returning consumer base. A final thought is the general area demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? Just how might the local mean home earnings effect future income prospects?