FOR SALE: Tech Accessories Stock and Ship Ecommerce Store

Averaging $2,779 Net Profit / Mo

Up for sale is a well-established, highly profitable, easy to run eCommerce store. Over the past 8 months (January 2019 through August 2019), the store has averaged $6,379 in revenue and $2,779 in net profit per month. The store owner has shifted the sales focus from the stand-alone website to Amazon FBA over the past several months, and the business has seen considerable growth with the new focus. The store is an established brand in the industry it represents, selling a specialty tech accessory which is used primarily in cars and motorcycles.  

Fulfillment is handled with a combination of Amazon FBA (Fulfillment By Amazon), FBM (fulfillment by merchant), and some dropshipping products. Currently, operations only take approximately 5 hours a week between fulfillment, marketing, customer service, and administration time. The current owner doesn't have the time he feels he needs to run and continue growing this site and having established an excellent new market, so he's decided to sell the property and move his attention elsewhere. 

KEY INFORMATION

  • Niche: Technology Accessories (please sign NDA to begin due diligence & get additional information)
  • Store Model: Amazon FBA & FBM with some Dropshipping
  • P&L Period: Jan 2019 - Aug 2019
  • Avg. Monthly Gross Revenue: $6,379
  • Gross Profit Margin: 67% of revenue
  • Avg. Monthly Net Profit: $2,779
  • Net Profit Margin: 43.6% of revenue
  • Owner Time Requirement: 5 hours per week

ASKING PRICE: $109,000

The seller's $109,000 asking price was calculated as follows...

January - August 2019 Total Net Profit: $22,230
/ 8 to Yield Average Monthly Net Profit: $2,779
x 36 Month (3.00 Annual) Earnings Multiplier: $100,034
Plus Cost Value of Inventory on Hand $9,800
Equals: $109,834 - Rounded Down to: $109,000

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P&L and Financial Information

Here is the P&L Statement for the most recent 6 months (January 2019 - June 2019). Click on the image to see a larger version of the P&L in a new tab.

P&L Statement - Jan - Aug 2019

As you can see in the P&L above, the store has been growing Amazon revenue substantially over the past several months. The stand-alone website still brings in a decent amount of sales each month, but Amazon FBA has taken over as the #1 sales channel for the business.

With an amazing gross profit margin of 68.4%, this business has a ton of room to expand its paid advertising to boost sales further. The current owner has intended to expand his advertising efforts for a long time now, but he just hasn't found the time to do it.

The seller will of course give the eventual buyer the opportunity to conduct extensive due diligence, including one or more live "screen-share" web meeting(s) where you’ll be able to view reports and transactions in the store admin panel, payment accounts, paid advertising portals, Google Analytics, etc. to verify and confirm all of the figures shown in the P&L above.

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About the Niche & Suppliers

As noted above, the store sells a selection of tech accessories primarily used with cars, trucks, and motorcycles. The store's catalog is simple and easy to manage with just a dozen products, which makes fulfillment and warehousing inexpensive.

For the benefit of the eventual buyer, the specific products the store sells as well as the domain name of the site will only be disclosed to serious potential buyers who first sign an NDA (which you can do electronically below). The purchase of this site will include both the designs and existing relationships with the factories where products are produced. The eventual owner will be able to retain the existing factory relationships or move those elsewhere if desired. 

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Marketing and Traffic

This brand was launched in 2005 and has built up significant domain authority over the years. The majority (40%) of current website traffic is from Organic Search Results. The current owner, as noted above, has been focusing on building the brand via Amazon, which has resulted in significant sales growth. 

    The following screenshot from Google Analytics (GA) shows the traffic breakdown for the period July 2018 - June 2019. (Click on the image to see the full-size version in a new tab.)

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    Store Operations

    The current owner estimates that he spends 5 hours per week running the store at its current operating level reflected in the P&L above. One reason the current owner is able to spend so little time operating the store each week is having set up the Amazon FBA focus on the biggest sellers. Here's a list of the tasks the current owner performs himself:

    • 1 Hour per week: Shipping inventory to Amazon FBA
    • 2 Hours per week: Other fulfillment (eBay, Website, Amazon FBM) and returns
    • 1 Hour per week: Administrative tasks
    • 1 Hour per week: Marketing and Customer Service

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    Growth Opportunities

    • Increase Email Marketing Efforts - The current owner has done very, very little in the way of email marketing. The Amazon focus has consumed his growth time. The business has an email list comprised of 9,700+ past customers who already made a purchase.
    • Expand Amazon FBA to International Markets - The owner has begun expanding into Canada, but hasn't had time to setup FBA, which results in significant shipping time and costs. Adding Amazon Canada FBA would provide a ready-built market to utilize for further expansion. 
    • Maximize Amazon Targeting through Catalog Updates - The current product listings are listed as generic accessories on Amazon, but they could be highly targeted to specific products which would increase the product suggestions from Amazon and could significantly improve views and conversions on Amazon. 

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    Included with the Sale

    The sale includes all of the following...
    • The domain name and website (including all textual and graphical content)
    • All social profile accounts associated with the site.
    • All customer lists (comprised of over 9,700 past customers)
    • All supplier and factory accounts
    • 30 days of support to train you/your team on how to run the business, manage the ad campaigns, etc. (first 30 hours via phone or live webinar/screen share, then Skype/email support after that)
    • Note: The seller will certainly sign a non-compete as part of the Contract of Sale.

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    Buying Process

    You can make an offer for this highly profitable eCommerce store here. We'll immediately present your offer to the seller. If he accepts your offer, we'll notify you immediately and update this page to let other interested parties know that an offer has been accepted.

    Once your offer is accepted, a 7-day due diligence period will begin (during which time other interested parties may place a "back-up offer" in case the sale falls through for whatever reason). During this 7-day due diligence period, we'll work closely with you and with the seller to help you complete due diligence. Among other things, this will include doing one or more live screen-share web meeting(s) so you can review financial information, the store admin panel, payment accounts, sales reports, traffic reports in Google Analytics, supplier invoices, etc. We'll also send you the Asset Purchase Agreement (APA) for you to review.

    Once the APA is signed and the sale is completed, we will update this page to let other interested parties know that the sale has been finalized and remove this listing from the Store Coach Website Marketplace.

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    Option to "Buy and Outsource"

    If you're interested in acquiring this business (either on your own OR as part of a group) but don't have the time, desire or know-how to handle the day-to-day operations yourself, use the Ask a Question box below to learn how you can outsource 100% of the day-to-day operations to a full-service eCommerce operations company affiliated with Store Coach for a very reasonable operating fee . This allows you to reap the financial benefits of owning (or co-owning) a "cash cow" Internet business like this without having to operate it yourself. By outsourcing 100% of the day-to-day operations, you can own (or co-own) this business completely passively.

    Sign NDA to Begin Due Diligence

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    Disclaimer: Store Coach, Inc. is acting as the broker of the sale of this website/business and is merely presenting figures and information provided by the website/business owner. The website/business owner is solely responsible for all financial figures, statements, claims and information provided on this page as well as all financial figures, statements, claims and information which may be provided to interested parties during the due diligence process. It is the responsibility of the eventual buyer to review and verify all financial figures, statements, claims and information provided by the website/business owner.

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