The target is an exciting Internet Company that has achieved over $2M in Gross Revenue and just under $600k in cash flow in the last twelve months – all while operating on a 60% Gross Margin. The business is growing and has established itself as a strong brand on the Amazon.com platform, including with its growing Subscribe & Save recurring revenue model.
The business has focused its efforts on a limited SKU count so that it can use a laser-guided approach to marketing. The has resulted in a great deal of success. As the company continues to grow its SKU base, product by product, each new launch would expect big results give the velocity of sales on the account.
The company’s primary sales channels for this company is Amazon.com, and its own branded website storefront, which has both brought awareness to the brand and generated a significant amount of growth. All products are sold via eCommerce at the moment, but there is a tremendous amount of opportunity for this brand to be sold through other eCommerce channels and offline channels, including mail order (subscriptions), big box stores (Walmart, Vitamin Shoppe, iHerb, etc.), through various distribution channels, and Internationally via Amazon’s sprawling FBA warehousing platform.
The company is registered through Amazon’s Brand Registry, which gives it added brand control and awareness. It utilizes Amazon’s Fulfilled by Amazon Multi-Channel program to ship products among all platforms. Therefore, there is no need for an expensive warehouse move – this highly relocatable company can be operated from anywhere there is an Internet Connection with no need for high cost infrastructure to house and ship goods. Additionally, the company is a party to Amazon’s Subscribe & Save Program, which is, over time, building a collection of recurring, subscription revenue from shoppers that would like to continue to receive the product month over month. This alone is a major opportunity for growth within the current SKU collection, notwithstanding the opportunity to add additional SKUs over time.
This company has everything smart entrepreneurs, investors and lenders are looking for in an M&A opportunity: High Growth, Branded Product Lines, Proprietary Blends, Highly Scalable, Recurring Revenue, a large number of Verified Reviews and Clean Numbers.
