High-Growth Ecommerce Retailer of Ergonomic Furniture – 10 Years Established, 600% Year over Year Profit Growth, Booming Work From Home Product Line
This eCommerce business specializes in selling ergonomic furniture and accessories online. They have a vast product range that includes mobile workstations, standing desks, monitor arms & mounts, and several other accessories. The company has seen significant growth in the last few years and has secured enviable payment terms with suppliers. With a robust foothold in the interior design and wellness verticals, the business employs social media channels to connect with customers to sell their products and establish their brand. They have a strong presence in Amazon, using Fulfilled by Amazon (FBA) services to ship most of their products.
OPERATIONS
The company operates with a flexible B2B, B2C, and B2Gov model. It holds 35% of its product inventory in a 10,000 square foot warehouse and outsources the rest to Amazon’s Fulfilled by Amazon (FBA) system. With an average of 40 hours dedicated each week, the current ownership monitors the PPC campaigns, creates Amazon content, performs SKU line research, and analyzes new product options.
To manage its supplies, the company has favorable payment terms with suppliers that have resulted in significant profits. It relies on Fulfilled by Amazon (FBA) system to manage its warehousing and shipping.
MARKETING AND KEY METRICS
The company drives significant traffic to its website using SEO, paid, and social media marketing. They also have strategic partnerships with interior designers and companies, influencing and affiliating development.
The company predominantly sells on Amazon using Fulfilled by Amazon (FBA) services and uses social media channels to drive traffic to its website
The company uses strong net profit growth, a 335% YoY sales growth and a 22% repeat order rate as key metrics.
The company serves customers in the B2B, B2C and B2Gov verticals. Its loyal customer base has a 22% repeat order rate.
BUSINESS MODEL & RESOURCES NEEDED
The company currently has 9 employees working full-time, out of which 2 are responsible for the warehouse operation. It’s relatively easy to add new employees to the workforce
THE INDUSTRY
The online ergonomic furniture market has seen steady growth as many companies switched to a work-from-home model for their employees. Available statistics show that market value could reach $22.4 billion by 2025
OPPORTUNITIES TO SCALE
The company has significant opportunities to scale and expand while operating in the health and wellness verticals. It includes adding new products to its existing product range, developing an in-house brand, expanding to international markets, and creating more strategic relationships.
Asking Price: $7,000,000
Gross Income: $16,498,200
Cash Flow: $2,102,259
Year Established: 2010
Employees: 9
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