FBA Ecommerce Retailer with 2 Brands in School Supplies and Baking Packaging Categories
This online business retails school supplies and bakery packaging materials under two of its own brands. It has over 150 SKUs with an average order value of $17-$20 and is highly successful in the school supplies and baking packaging niches. It has a 30% repeat customer rate and is SBA eligible with only 15% down. The website operates on a completely inventory stock model through Amazon FBA, making inventory, logistics, and shipping very easy to handle. The business is easily scalable through sales channel expansion, product development, and SEO and paid media tactics. The business has low overhead costs and requires less than five hours of work per day.
OPERATIONS
The company operates with a completely inventory stock model via Amazon FBA. The stock is stored, shipped, and managed via Amazon’s logistics services. Sales are primarily channeled through Amazon marketplace as well as the business’s own Shopify websites. The company operates on a 100% inventory stock model making inventory extremely easy for a new owner to handle with almost no previous eCommerce experience.
The company operates on a completely inventory stock model via Amazon FBA. The stock is stored, shipped, and managed via Amazon’s logistics services.
MARKETING AND KEY METRICS
The targeted geographic market is the Amazon customer base in the US. The company generates traffic through Amazon PPC and AMS as well as social media interactions on Instagram, Tumblr, Twitter, Facebook, Pinterest, and YouTube. Separating the 2 brands on all social media platforms and applying Google advertising will increase traffic and audience reach.
The company can be scaled through sales channel expansion, driving traffic to their branded websites, further product and category development, increasing all marketing initiatives, and applying new SEO & Paid Media Tactics to increase volume on Amazon Listings, their Website Storefronts, and more.
The business has over 150 SKUs with an AOV of $17 – $20 and a 30% repeat customer rate. The company has no debt and is SBA eligible with only 15% down. The current owner requires less than five hours a day to run the business with jaw-droppingly low overhead costs.
The target demographic for this business is the Amazon customer base in the US who is interested in school supplies and baking packaging.
BUSINESS MODEL & RESOURCES NEEDED
The business requires only one employee to maintain the operations, serving as the owner-operator. The employee spends less than five hours per day to manage the activities of the business.
THE INDUSTRY
The eCommerce industry in the US is rapidly growing and is expected to generate over $700 billion by 2022. This business is very successful in niches such as school supplies and baking packaging. The business is a promising starting point for any business-minded entrepreneur looking to secure their own place among the top Amazon Sellers as well as an established buyer looking to add new and optimized offerings to their own business.
OPPORTUNITIES TO SCALE
The business is easily scalable through adding in-house SKU lines for each brand, extending marketing placement and efforts, separating the two brands on all social media channels, applying SEO and Paid Media Tactics to increase volume on Amazon Listings, and more.
Asking Price: $499,000
Gross Income: $378,163
Cash Flow: $145,660
Year Established: 2016
Employees: 1
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