Price: 295.000 €
Inventory not included
ø Monthly Revenue*: 82.496,95 €
ø Monthly Expenses*: 69.948,08 €
ø Monthly Net Profit*: 12.548,87 €
Established: May 2014
For sale is an Amazon FBA business with an annual revenue of around 1,000,000.00 EUR and a profit of around 150,000.00 EUR in the last 12 months. The company was founded 4 years ago and specializes in selling fashion for young women. With an inventory consisting of 5,000 parent ASINs in the apparel and accessories sector, the buyer will acquire a fully established brand which focuses on high-quality products at affordable prices.
The company holds rights to several trademarks (all registered in Germany and the EU) and patented designs.
The seller creates a sense of loyalty by using elaborate product packaging, leaflets and stickers and on-brand language in all emails. Because the brand is so well known, customers specifically search for it on Amazon and newly listed products gain an excellent ranking in no time. The Seller Account on Amazon has more than 18,000 seller reviews and about 10,000 product reviews.
The company generated their first sales on eBay but switched to Amazon once they realized the immense potential of the marketplace. Amazon Germany is currently the main sales channel, but their eBay account has been reactivated and currently has around 10,000 reviews, as well as the top seller status
In addition to word-of-mouth, the Seller’s advertising on social media is very successful and provides a large portion of their traffic. The Amazon pay-per-click program was used to generate traffic to new products and improve their rankings quickly. However, these campaigns could have much more potential though optimization.
Suppliers and logistics
The company has a stable and reliable 4-year relationship with their three main suppliers. Supplier credits, terms of payment and special agreements (such as exclusiveness) have always been granted.
However, the company is not dependent upon those suppliers alone. They have several alternative and backup suppliers as well. Due to the immense sales volume, all suppliers are motivated to continue the collaboration and grant the best discounts, even for small orders, and special conditions for top-seller products. This allows for a large competitive advantage, as well as guarantees a high-profit margin. Furthermore, the seller has long-lasting business relationships and contracts with logistic companies, such as DPD, which can be continued after purchase.
As a result of the continually increasing sales, the main warehouse was outsourced to an external fulfillment provider and only a small distribution center remains in-house. The whole shipping system is fully automated and can be used by the buyer.
The fulfillment provider offers the best conditions regarding shipping costs, storage fees and other expenses. All agreements are transferable to the buyer.
The business is automated to a large extent from the development and adaptation of a comprehensive software system. This allows the regular day-to-day business to happen without any manual work. The buyer is free to adopt this system or implement their own.
The company can be run by a single person since all work-intensive processes are outsourced to the fulfillment provider. However, two part-time employees currently cover product research and product packaging at the seller’s distribution center, since the founding team is no longer involved in the day-to-day business operations.
|Month||Sales||Units sold||Cost||Margin||Contribution margin|
|June 2017||113.906,34 €||10.337||80.144,14 €||29,64%||33.762,20 €|
|July 2017||28.812,13 €||2.052||26.225,88 €||8,98%||2.586,25 €|
|August 2017||38.478,27 €||2.976||31.429,18 €||18,32%||7.049,09 €|
|September 2017||40.130,89 €||2.889||33.636,48 €||16,18%||6.494,41 €|
|October 2017||38.740,14 €||2.498||33.473,03 €||13,60%||5.267,11 €|
|November 2017||105.693,66 €||5.763||87.094,36 €||17,60%||18.599,30 €|
|December 2017||333.722,97 €||15.693||290.599,78 €||12,92%||43.123,19 €|
|January 2018||88.953,94 €||5.967||90.459,00 €||-1,69%||-1.505,06 €|
|February 2018||67.511,29 €||4.498||56.735,95 €||15,96%||10.775,34 €|
|March 2018||56.223,29 €||3.889||46.879,87 €||16,62%||9.343,42 €|
|April 2018||43.385,43 €||2.868||38.977,11 €||10,16%||4.408,32 €|
|May 2018||45.746,87 €||3.021||36.369,23 €||20,50%||9.377,64 €|
|June 2018||53.714,75 €||3334||42.255,14 €||21,33%||11.459,61 €|
|July 2018||77.661,91 €||13663||51.467,87 €||33,73%||26.194,04 €|
Included in the purchase:
- Social media channels (Facebook and Instagram) with more than 20,000 fans
- An email list with about 18,000 subscribers
- Domain and website with a webshop
- Product pictures for all the products (Rights of Use will be transferred)
- Several trademarks and patented designs
- Expansion to new Amazon marketplaces (PAN EU and North America)
- Growth of the online shop and potential for increased sales
- Expansion of the product range (to men’s fashion, etc.)
- Optimization of the PPC campaigns
- Relaunching on eBay with the already existing seller account
- Acquisition of new suppliers from China and Asia for new products at lower purchase prices
Reason for sale:
One of the founders has to leave Germany due to family reasons and his business partner is lacking the time to take care of the business due to his studies. Although they are disappointed they cannot continue, they have decided to sell the company.
The seller is willing to support the buyer during the first 1 to 3 months.
All listings on the Dragonflip Marketplace are carefully reviewed by our team. We evaluate all opportunities and risks to ensure that only high quality offers are listed on our marketplace.
DragonFlip Asset Management Service
You would like to buy the business described on this page, but you lack the time or experience to further develop the project? No problem. Outsource your Amazon Business to DragonFlip. Save time and generate passive income. We take over for you the management of the project for a participation in the revenue.
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