This listing is for an Amazon FBA and FBM (Fulfilled by Merchant) business created in December 2016 in the general niche. The included Amazon Seller Central account includes 1500 SKUs operating on the arbitrage model. The business purchases products at wholesale prices and sells them at retail prices on Amazon. There is a team in place that is happy to continue with the new owner. This business is a top 1000 Amazon FBA seller, has over 6000 reviews (99% positive), and is showing strong month-on-month and year-on-year growth.
The business is approved to sell in a number of Amazon gated categories including Grocery and Health & Beauty. In addition, the business is approved and selling in the Amazon Small & Light Program which offers reduced Amazon fulfillment fees for inexpensive and lightweight items. The business is also approved to sell a limited number of items designated as Hazmat through Amazon FBA.
The business has numerous supplier relationships, some of which are especially valuable since the suppliers are no longer taking on new online retailers. The business has worked with many suppliers for over two years. These long-term ties offer many options, including a vast list of available SKUs for purchase. These connections would pass to the Buyer. The business has developed a methodology for determining which SKUs will provide the best ROI and this will also be provided to the Buyer.
The current process for the business involves purchasing inventory stock and having it delivered to a leased warehouse. At the warehouse, the team takes care of preparing for shipment to Amazon, which typically takes 1-2 days. Following this method, 90-95% of inventory is held by Amazon FBA warehouses. The remaining 5-10% is stored at the business's warehouse and fulfilled directly. The Seller does not believe that the Buyer needs to be on site. The Seller does not work out of their warehouse. They have a good manager that runs everything. Moving operations to another location is an option as well, as training employees is not difficult, and depending on location, shipping costs could be reduced.
The business has 9 employees, all located in the US and working at the business's warehouse. They are responsible for receiving shipments, counting and inspecting inventory, stickering products for FBA fulfillment, and creating shipments to Amazon. Employees also handle merchant fulfilled orders, customer service inquiries, and assist in approving new products for purchase. All employee tasks can easily be trained.
The business has additional Amazon Accounts set up in CA, MX and UK Markets. The business currently only sells on Amazon US, so expanding to international markets is an opportunity for the buyer to pursue. The business also has set up accounts with Walmart and eBay as well as a branded Shopify store, although 99% of the sales are from Amazon. Focusing on these other sales channels is an option for the new owner.
Average Monthly Revenue: $316,552
Average Monthly Expenses: $297,623
Average Monthly Net Profit: $18,929
* We are using the last 12 months to determine the averages.
Assets Included in Sale
Included in the sale of this business are:
*Inventory is not normally included in the list price, further details can be provided to active depositors.
The Seller currently spends around 20 hours per week vetting new products and doing weekly purchasing.
Reason for Sale
The Seller would like to focus on their other ventures.
Sale Pending: No
First Seen: Mon, Sep 3rd 2018
Last Updated: Sat, Nov 10th 2018