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SBA Pre-Qualified 20 Year eCommerce Business | Home, Garden & Industrial Sectors | Amazon, Walmart & Website Sales | Fully Staffed, Experienced Team

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Website Closers® presents an SBA Pre-Qualified eCommerce Business that has 20 years of experience marketing high-quality and high-demand pressure washing and outdoor cleaning products, including both their own private label products as well as other brands’ products.

The company has grown nicely over the past 5 years, seeing no down years even after the pandemic. This has allowed the business to qualify for SBA Financing through our preferred lending network of banks. As an SBA Pre-Qualified business, a Qualified Buyer could purchase this business with a down payment as little as 10% of the purchase price. SBA Loans are amortized over an entire decade and have industry leading interest rates. There is no other way to purchase a small business in the United States that beats the ROI available through the SBA process.

Company Operations

Having grown to 1,000+ SKUs sold across multiple sales channels, the company dominates in this specialty niche vertical, with few competitors who can match the depth and variety of their listings, especially with their “kit” listings.

The company is well-established as an authorized distributor for major pressure washer brands, including Simpson, MiTM, Pressure Pro, and others. The company resells those brands on its website, and also has its own brand of products on Amazon and Walmart, where they often get exclusive distribution deals with their suppliers. The company now sells to customers around the globe, having used Amazon’s foreign platforms to break into markets in Canada, Mexico, and Brazil.

With such a wide assortment of SKUs, the company has done particularly well selling parts and accessories within the Home & Garden and Industrial Products categories. Their customer base is highly diverse and includes homeowners, contractors, commercial and industrial users, even the military.

After two decades in business, the company has a proven track record in these niche categories. Amazon has been a particularly strong platform for them. The company uses Fulfillment By Amazon for fast shipping and strong customer service, and the company has enjoyed a massive number of 5-star reviews on its diversified portfolio of products. The company’s partnerships are with high-quality suppliers who are dependable, deliver products quickly, and give this company enviable payment terms. That includes being a reliable source for Dropshipping orders to reduce this company’s need to stock a large amount of inventory. The vast majority of the company’s suppliers are based in the U.S., although they have started working with some manufacturing companies in China, Canada and Brazil.

This business represents a clear opportunity for a U.S. Buyer to acquire this company and then scale it quickly by continuing to expand international sales in Europe, finding new brand-name companies with unique products as suppliers, and locking in more vendor agreements for exclusive sales on Amazon.

Business Broker Takeaway

Our analysis of this business shows that the value propositions present are strong for a first-time buyer looking to get into the online space. We are excited about this business for 3 important reasons:

1. Strong SOPs in Place. With 20 years of experience, this company not only has a strong track record of profitability but also a detailed method for operations. The company developed its Standard Operating Procedure document outlining how the company will be run. Their proprietary replenishment sheet was developed in-house, detailing dozens of rules covering the company’s historical data, current inventory, ordered inventory, partially received inventory, demand, lead times, shipping times, and methods. These procedures also cover bookkeeping, sales, website updates, and order processing. Organized to maintain the property handling of their SKUs, this SOP will be passed on to the new owner and has been a major value in measuring the company’s success.

2. Amazon Brand Registry. Amazon has proven to be the ideal platform for this business. The company sells on Amazon US and several foreign platforms, with plans to soon launch on Amazon’s European sites. The company takes full advantage of shipping through Fulfillment By Amazon, which has been the cheapest way for the company to get its products to customers, and has successfully run PPC ads on Amazon to direct users to their shop. With 200+ products in its Amazon store, the company has plenty of growth opportunities by adding new SKUs. Amazon is now 75% of the company’s sales. The company is registered with the Amazon Brand Registry to protect against counterfeit products.

3. Experienced Team in Place. The current owner works no more than 20 hours per week and could easily do far less, since the team of workers is fully capable of handling all aspects of the business and its daily operations without the owner’s supervisor, and for extended periods. That includes two assistant managers, a team working in the company’s warehouse, a sales team that responds to all leads, and customer service reps responding to all customer inquiries on Amazon Seller Central. At the same time, Amazon efficiently handles returns, issuing labels, shipping, and customer complaints.

The Company

Launched in 2003, the company has built up excellent relationships with both its suppliers and loyal customer base. The company has continued to reach out to new suppliers, including in Canada and Europe, and the company’s brand name is trademarked.

While the company’s Average Order Value on Amazon is $50, with a much larger catalog on their website, the AOV rises to $400. Products sell at a steady pace throughout the year, with their busiest times running from February through October. At peak times, the company ships 120+ orders a day. The company has also become popular for its various “kit” bundles that group several products used together in their applications. This has become a popular convenience for the customers, and the company has done particularly well marketing these bundles.

Sourcing & Marketing

At least 98% of the company’s products are sourced in North America. The company stocks smaller items in its warehouse, with larger items being Dropshipped by the manufacturers. The company uses the hybrid model, with 75% of its sales coming from inventory that has been stocked. The company maintains up to $500,000 in inventory, depending on how high sales are, and benefits enormously from excellent payment terms with their vendors, thanks to their long-time business relationship.

The company is so busy they ship orders to Amazon fulfillment centers twice a week, and has qualified for free deliveries with most of its vendors since they meet order minimum quantities. They also maintain special contract pricing with numerous vendors.

Sales have been driven higher by digital marketing tools that boost organic traffic to their Amazon shop and website, including video marketing on YouTube, posts on additional social media channels, and an extensive SEO program based on keyword density on the company’s newly launched website.

The seller is available to provide 2-4 weeks of training during the transition to a new owner and can stay on for a certain length of time, including as a consultant if necessary. The new owner gets the advantage of the company’s high recurring revenue, strong brand recognition, well-established supplier relationships, and the SOP documenting all processes. The company is also SBA-qualified.

This Company is Represented by:

WebsiteClosers.com

Technology, Internet & eCommerce Business Brokers

WC 3424

Asking Price
$ 2,400,000
Cash Flow
$ 620,461
Gross Income
$ 4,818,851
Year Established
2003
Employees
7

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