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High-Growth Baby Products E-Commerce Retailer with Defendable IP and Brand Development

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This company is a super high growth Baby Products company with impeccable brand presence and imagery, significant YOY growth, intellectual property protections and a massive ability to scale in the near term. They have a diverse product assortment and category array, that sees low seasonality risk since babies are born every day of the year. They currently sell solely through the Amazon.com channel in the United States, with all fulfillment handled by Amazon (FBA).

OPERATIONS

This Internet Company has proven itself year over year and has done exceedingly well throughout the pandemic. Nearly every product offered holds a ranking at or near 5 full stars – an accomplishment very few have achieved in the Baby Vertical. The Company sells UV Light Sanitizers, Food Processors for Babies, Baby Feeding Sets, Teething Sets, Toddler Plates & Bowls and Freezer Tray Sets, all in compliance with the Consumer Product Safety Commission.

Amazon’s Fulfilled by Amazon (FBA) program is utilized for all pick, pack, and shipping needs, reducing the need to deal with or ship products from its own warehouse. The company has a small support team, and ownership is interested in continuing in the business after closing if that is the desire of the ultimate buyer.

MARKETING AND KEY METRICS

The company is currently only focused on developing the brand using the Amazon Sales Channel, where customer acquisition cost is low and where most mothers begin their shopping experience for children’s products. Additional sales channels that are immediately available include its Branded Website and other online Retail Channels, like Walmart, Target and BuyBuyBaby. Amazon International is an immediate opportunity, where the process has already begun.

The company currently sells solely through the Amazon.com channel in the United States, with all fulfillment handled by Amazon (FBA). Additional sales channels that are immediately available include its Branded Website and other online Retail Channels, like Walmart, Target and BuyBuyBaby. Amazon International is an immediate opportunity, where the process has already begun.

The company sees a $98 average ticket value year-round. On average, the brand is represented through high quality imaging and product descriptions.

The perfect Buyer for this company in the eyes of the Seller is one that can bring forth experience, capital, connections and opportunity. The company sees a diverse customer base, primarily made up of mothers and caregivers with the majority of sales coming from the United States.

BUSINESS MODEL & RESOURCES NEEDED

No previous experience with eCommerce is necessary for this business – everything will be trained after closing as part of the transition. This company has built itself atop an easy to run, low overhead model requiring zero office and no warehouse overhead, eliminating the need to deal with large employee or office expenditures.

THE INDUSTRY

The Baby Products industry is a multi-billion dollar industry, highly competitive with a number of smaller players selling a variety of different baby products. This company has established themselves as a high quality, trusted brand and has seen significant growth in recent years. Some of their competitors include The Honest Company, Pampers and Johnson & Johnson.

OPPORTUNITIES TO SCALE

Situated for scale in a variety of directions, this baby brand is ready for expansion into almost any international channel and would be any easy addition to the Amazon Europe and Asian markets, wholesale brick & mortar, and other segment-leading – all potent ROI investments. The company is in a prime position to begin focusing on additional sales channels, product verticals and international sprawl.

Asking Price: $13,000,000
Gross Income: $6,472,528
Cash Flow: $2,819,333
Year Established: 2018
Employees: 3

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