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Screenshot of sold business arumlondon.com

Arum London

arumlondon.com

Appears in Home and furniture , United Kingdom, London, Business and Franchises under $5,000, Inventory, Small Business, Highly Profitable businesses, Businesses using Shipstation for Sale

General description

We started working on Arum in January 2017 and officially launched 4 months later in May.

Arum has a fully operational website, healthy product range, e-commerce as well as retail presence, supported by quality press testimonials.

The sale would include the store, social media accounts, existing inventory in an Amazon warehouse, product manufacturing and operational know-how as well as a customer mailing list and lead lists of 34 magazines, 140 bloggers, 350 independent boutiques and 8 potential manufacturing partners.

Financials and traffic

The cost of manufacturing and shipping of a candle is £12 on average (including £3 shipping fee). The retail price is £34, giving a healthy margin.

The margin will improve further with scale and you can also choose to charge for shipping. This could half your manufacturing cost and increase profitability.

So you could be looking at a ratio of £6 for manufacturing and an RRP of £34, giving you a £28 (82%) margin per candle.

Average profit/month

$220 USD

Average overall profit margin

65%

Average number of sales/month

10

Value of inventory

$2,225 USD

Lifetime revenue

$3,322.00 USD

Lifetime traffic

6,899 Sessions

Revenue and traffic data from this graph is calculated by Exchange and can not be edited by the seller. Average profit, profit margin and number of sales are provided by the seller. Learn how Exchange calculated this data.

Business Expenses

We have a monthly subscription to Shopify and G Suite. We are on a free plan with ShipStation as we're on their smallest tier. No reoccurring advertising, accounting or other costs.

Expense item

Cost

Shopify plan

$39.00/month

Subscriptions (ie. Mailchimp, apps)

$8.00/month

Advertising (ie. Adwords, Facebook ads, etc.)

$1.00/month

Inventory warehouse

$20.00/month

Domain

$4.00/month

Inventory

We currently manufacture the stock ourselves and hold 50 candles in an Amazon warehouse. We are happy to manufacture more candles for the buyer upon agreement. As part of the sale, we will also share a full list of manufacturing leads and the status of the conversation we've had with them so far to help you scale and outsource the manufacturing if you wish to do so.

Located in London, UK

Willing to ship inventory

Willing to transfer relationships with suppliers

What’s included in the sale

  • Physical inventory
  • Logo and branding assets
  • Social media accounts
  • Personal support after sale
  • Domain
  • Product photos

Social Media

Facebook

arumlondon

Instagram

arumlondon

Pinterest

arumlondon

Mailing list

126 subscribers

Social media followers

600 people

Q & A

Why should someone buy this store?

Arum is a beautiful brand with a strong story and arresting visuals. It has proved traction within the first 12 month of launch, has been very efficiently set up and the right person or team can scale this business.

How can the future owner improve the business?

Dedicate time to building the business - grow the fanbase of customers as well as retail relationships.

You can also launch profitable customer acquisition channels with search, social, influencer or other type of marketing.

What work have you put into the store?

We currently make the products ourselves and our delivery is automated with Amazon FBA. This means that customer can buy Arum candles either via our site (we deliver anywhere in EU via Amazon FBA) or directly on Amazon (we list across Amazon UK, DE, ES, IT and FR).

To grow the business, we have done a successful influencer campaign, PR outreach, regular email marketing and word-of-mouth marketing. We have also done some search, display and social advertising. We will hand over over the accounts, creatives and all historic learnings to the future owner.

In terms of tracking, we have Google Analytics and Facebook Pixel implemented on our site, giving you detailed insight.

We have a small number of reccurring customers and also a retail relationship with an independent boutique in London.

We decided to sell the business to focus on other ventures. The business has been set up very efficiently, has seen traction in the market in a short amount of time and we're looking for the right person to grow it further from here.

In summary, we:

  • established the business as a limited company with a dedicated business bank account and clean accounting

  • designed the story, brand identity, website and all visuals from scratch

  • did successful influencer and press outreach

  • launched a content section and wrote an in-depth article to help with SEO

  • launched a retail relationship with another one in the making and built a lead list of 350 independent retailers

  • launched 2 collections and a special Christmas scent

  • automated the whole warehousing and fulfilment process with Amazon FBA

  • Got bar codes for all products and Xero for accounting to facilitate further growth

  • Launched conversations with manufacturers to facilitate further growth

How many hours does it take to run this business per week?

4 hours

Store images

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