Seasoned 8+ Year Old Christmas Tree Ecommerce Business

This ecommerce company sells eco-friendly Christmas trees and home decor products primarily through their website storefront and Amazon account. With top-shelf media exposure with outlets including Good Housekeeping and HGTV, the business has achieved an impressive $200,000 in cash flow over the past 8 years. The inventory is warehoused by the supplier with no warehouse needed by the business. The company has two primary suppliers providing 100% of their SKUs, ensuring only top-quality products are shipped to customers reliably and quickly. Immediate scale opportunities include email marketing, wholesaling, and white labeling in this unique, online niche for seasonal products.

OPERATIONS

This company has a hybrid inventory model with 80% of inventory sold warehoused by the supplier, and the other 20% drop shipped from third parties. Working capital is limited to inventory only, and terms are generally 75% up front, 25% at shipment, resulting in a fluid, low-overhead inventory hold model to achieve inventory turns and maximize profit margins.

The company has two primary suppliers providing 100% of their SKUs, ensuring only top-quality products are shipped to customers reliably and quickly. The inventory is warehoused by the supplier, with no warehouse needed by the business.

MARKETING AND KEY METRICS

The company has achieved profitable growth through a combination of organic traffic, Pay per Click advertising, and other paid advertising strategies. An opportunity for immediate scale includes utilizing a substantial email list accumulated over the years previously unused as a marketing tool.

Scale opportunities include email marketing, wholesaling, and white labeling.

The business has achieved just under $200,000 in cash flow over the past 8 years and has averaged $531,500 in gross income.

BUSINESS MODEL & RESOURCES NEEDED

This online business has two employees.

THE INDUSTRY

This unique online niche sells seasonal Christmas and holiday decor products primarily through their website storefront and Amazon account. They offer eco-friendly Christmas trees and other home decor products. Companies in this niche include Pier 1 Imports, Williams Sonoma, Pottery Barn, and West Elm.

OPPORTUNITIES TO SCALE

The business has achieved profitable growth so far and has several additional scale opportunities. These include utilizing their email list, developing a wholesaling program, and white labeling its products.

Asking Price: $295,000
Gross Income: $531,500
Cash Flow: $92,400
Year Established: 2007
Employees: 2

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Amanda Stanley

Amanda has been a professional writer since 2010. She writes during the day and reads by night. She has accumulated knowledge by scouring the internet and reading informative books. Concurrently, she developed a passion for educating people through her blogs and web tutorials. She is an earnest believer that knowledge is power.

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