All prices in USD
  • Avg. revenue /month
    $51,418
  • Avg. sessions /month45,281
  • Avg. profit /month
    $25,000

Business Story

Why this business was started

After the 2008 financial crisis, many dealers of popular brands were left with excess inventory, but they were legacy businesses that didn't know how to operate online. As a result, they were unable to take advantage of the growing demand from online customers. That's how this business was born -- buy buying excess inventory of prestigious brands at wholesale prices and reselling to online customers.

The reason of selling this business

It's been a decade. In this time, the owners have developed other interests outside of e-commerce and would like to move on so that they can spend their full time on these new interests.

What's involved in running this business

The business involves making purchase decisions to continue replenishing the inventory, and then make corresponding pricing decisions to ensure the right balance of margin and turnover. Operations include logistics (order fulfillment) and customer support. Beyond that, it's all about digital marketing.

The Shopify supported website is just one sales channel. This business also sells across marketplaces like Amazon, Walmart, eBay, etc.

This business was founded: 8 months ago
Time to run this business: approximately 40 hours per week

Traffic and Performance

  • Avg. revenue /month
    $51,418
    Verified
  • Avg. sessions /month45,281Verified
  • Avg. profit /month
    $25,000
  • Profit Margin10%
  • Avg. sales /month250
Other details about profit: This business operates across marketplaces like Amazon, Walmart, eBay, etc. We have stellar feedback across the various sales channels. Shopify is just a recent launch, and it contributes around 25% of the total sales. Normally this business has trended 3000 orders per month, but over the last several months we stopped purchasing additional inventory and so sales have steadily declined. The volume of sales correlates directly with how much inventory you are carrying.
Total revenue
  • $411,343
  • Revenue data comes directly from Shopify and cannot be edited by the seller
    Total traffic
  • 362,252Visits
  • Traffic data comes directly from Shopify and cannot be edited by the seller

    Expenses

    • Shopify plan
      $79
      /month
    • Employees
      $5,000
      /month
    • Domain
      $100
      /year
    • Apps
      $65
      /month
    • Paid media (Google, Facebook)
      $5,000
      /month
    • Warehousing / 3PL
      $500
      /month

    Sale Includes

    • Physical inventory

      Not Included
    • Logo and branding assets

      All photos, videos, or any design elements that belong to the business will be part of the sale. They will get transferred through a file transfer. Among the key assets of the business are the reviews collected across third-party portals such as eBay, Amazon, Walmart, TrustPilot, etc. The YouTube channel has over 9000 subscribers - [REDACTED]
    • Personal support after sale

      The previous owner will offer consultation up to 15 hours per week for a 6-week period following the sale to ensure a smooth transition -- including introductions to the suppliers, knowledge transfer regarding purchasing and selling, access transfer for marketplace accounts and marketing, social media, or any third-party service provider accounts. Also during this period the previous owner will handle customer queries (email) or shipping issues related to orders that were serviced by the previous owner before the sale date. Moreover, previous owner will remain responsible for any chargebacks or refund requests that came up for orders that took place before the sale -- these will be funded by the previous owner through a reserve fund set aside for this purpose.
    • Domain

    • Product photos

      All photos, videos, or any design elements that belong to the business will be part of the sale. They will get transferred through a file transfer.
    • Social media

      Total followers9,000subscribers
    • Suppliers

      The suppliers are in US, Europe, and Hong Kong.
    • Mailing List

      Not Included

    Seller‘s Advice

    How to grow this business

    Branded watches fall within the fashion/apparel space and, as such, social media should be the primary marketing channel. That's not the case currently with this business, which means the untapped growth potential is in riding the new wave getting generated by the recent developments at Facebook/Instagram. These platforms are attempting to take on a larger piece of ecommerce by facilitating purchases on their platform. Visually attractive products like watches being promoted on these platforms by a social media savvy marketer can create a winning formula for growth.

    The other growth opportunity is internationalization. Currently the business is 80% US focused, but there is no reason it has to remain that way. Expansion into English-speaking countries like Canada, UK, Australia, etc is low-hanging fruit since watches are high-value items that are light-weight and can ship cheaply all over the world.

    75% of the sales are still happening through marketplaces like Amazon, Walmart, eBay, etc. so another opportunity not necessarily for growth but rather for improving profit margins is to grow the Shopify business and reduce the dependency on the marketplaces.

    Skills to have

    All aspects of digital marketing apply to this business -- affiliate marketing, email marketing, SEO/SEM, and experience with marketplaces like Amazon, Walmart, etc would also give a strong advantage.

    This business involves sourcing merchandise from suppliers who are located in US, Europe, and Hong Kong. So it helps to be able to handle import procedures and do business internationally.

    Share

    JG
    Jay G.Current store owner

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