All prices in USD
$500,000
  • Avg. revenue /month
    $71,520
  • Avg. sessions /month67,733
  • Avg. profit /month
    $3,600
  • Inventory value
    $200,000

Business Story

Why this business was started

As a UK based experienced marketer I have always been interested selling a physical product.

Specialising in online community building I was confident that applying the same principles to e-commerce would create a strong, loyal audience allowing for word of mouth growth. Over the course of the last 18-24 months we have proved just that!

Currently running at a 65% returning customer rate our community listen and trust our judgement, buying what we put in front of them even those who may have been unlikely to shop for clothing online in the past.

With 100s of 5* reviews across Facebook, Google, Trustpilot and Feefo as well as 1000s of on site 5* product reviews, we have developed a strong customer service strategy ensuring repeat customers and organic growth.

By making ourselves relevant and accessible to our audience we are able to speak directly to our customers, understanding their needs /wants / desires and being able to tailor our product to suit these needs. We keep our approach simple. Be relatable, trustworthy and understanding of our community.

The reason of selling this business

The decision to sell has not been an easy one. It has been an amazing journey over the last two years. Growing and establishing a strong online brand. However, I also own another business which requires my attention as well as my family commitments.

Whilst I would love to continue growing both, this business isn't going to reach it's full potential without a new owner in place and so the time has come for me to hand the reins over to someone else. With the audience, suppliers / stock / processes and team all in place, the business is now in a position to be sold.

Shopify marketplace valuation $835,000 Offers around $500,000 will be considered.

What's involved in running this business

There is already a strong team in place covering all aspects of the business. A full handover would be given to ensure a smooth transition of ownership. This isn't a passive income business. It does require an owner to be involved and aware of the day to day running of the business. The potential rewards are huge - this business has the ability to become a leading name in the online fashion industry.

This business was founded: over 2 years ago
Time to run this business: approximately 30 hours per week

Traffic and Performance

  • Avg. revenue /month
    $71,520
    Verified
  • Avg. sessions /month67,733Verified
  • Avg. profit /month
    $3,600
  • Inventory value
    $200,000
  • Profit Margin5%
  • Avg. sales /month2,600
Other details about profit: **Please note that the shopify graphs will show reduced traffic as we closed temporarily between 22nd March and 22nd April due to the coronavirus. We have since re-opened to strong trading. We forecast Yr 2 turnover of 800k and gross profit of 10%.** We are a young company who has been investing to grow - therefore our 1st FY saw a low % profit due to our reinvestment for growth. We have recently invested in new premises, experienced staff and a new inventory management system to allow for exponential growth. There is also a good stock holding of over $200k putting the business in a strong position for 2nd FY profit. Over the last 24 months we have generated a small percentage of sales from physical pop up shops which have been in high demand from our customers.
Total revenue
  • $1,931,031
  • Revenue data comes directly from Shopify and cannot be edited by the seller
    Total traffic
  • 1,828,796Visits
  • Traffic data comes directly from Shopify and cannot be edited by the seller

    Expenses

    • Shopify plan
      $79
      /month
    • Inventory warehouse
      $2,000
      /month
    • Employees
      $12,500
      /month
    • Domain
      $25
      /year
    • paid apps
      $112
      /month
    • Facebook ads
      $6,300
      /month
    • Inventory system, subscriptions
      $875
      /month
    • Postage
      $7,500
      /month

    Sale Includes

    • Physical inventory

    • Logo and branding assets

      All will be transferred via Google Drive folder.
    • Personal support after sale

      We want to ensure a smooth transition and so will be offering 6 weeks Skype support. This can / will include full training, insights into how we market to our audience, the advertising methods we use and what we have learnt during the growth of the business. We will also carry out supplier introductions if preferred.
    • Domain

    • Product photos

      All of our images are taken in house with our professional creative team and edited for website and social.
    • Social media

    • Suppliers

      All supplier relationships will be supplied including introductions and any forward order agreements.
    • Mailing List

      11,000subscribers

    Seller‘s Advice

    How to grow this business

    With the closure of a number of large High Street retailers there has never been a greater opportunity for online retailers to capture a greater share of the market.

    As a young, rapid growing online fashion brand we are perfectly positioned to maximise on this opportunity.

    There a number of ways in which this business could grow over the next 5 years...

    Scale using Facebook ads. >> All revenue is currently generated on a modest Facebook ad spend with an average ROAS of >18 so there is a huge scaling opportunity here.

    Invest in Google Ads >> With no Google ad spend there is a significant opportunity here to create a brand new revenue channel.

    Set up an Influencer Campaign Strategy >> As a business we haven't explored the world of influencer campaigns instead choosing to focus on community loyalty. There is a massive opportunity for a new owner to create a solid influencer strategy.

    Pop up Shops >> There is also a real opportunity in the development of a pop up shop strategy. Our customers have been demanding offline opportunities to touch and feel the brand. There is HUGE potential in creating a full campaign around this similar to that of GymShark.

    PR >> As a business we have not carried out any PR activity to date. All growth has come on the back of our community building. There are many opportunities to leverage some strong press coverage around the brand, what it stands for, our approach to marketing and customer service and of course the successful acquisition and future growth plans. There would also be some great opportunities to include community members in PR campaigns.

    Skills to have

    This business comes with a hard working, experienced and highly competent team in place. Whilst there isn't any specific knowledge required of the new owner any previous e-commerce / marketing experience would be advantageous.

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