BizSold the leading eCommerce and SaaS M&A firm announces another succesful transaction of an established Amazon & eCommerce brand.
Online PR News – 24-August-2017 – Denver, Colorado – BizSold is proud to announce the completion of another successful sale. Earlier this month, BizSold represented clients looking to sell their Amazon FBA and Affiliate company, specializing in survival and outdoor gear. The asking price was over $9 million, BizSold was able to secure 3 offers for the client within 45 days.
This outdoor & survival brand began in 2012, and experienced explosive growth, eventually becoming a branded name in the survival and outdoor space. Gross revenue in 2016 stood at over $7 million, which is impressive, considering that the company had only six employees.
Clean reviews are crucial to success on Amazon, and this company had more than 4,900 five-star product reviews on Amazon. The company treated this relationship with great care, as more than 60 percent of the company's earnings came from Amazon sales. This established relationship would serve the buyer well, as it allows the new owners to come into a market that is already predisposed to trust the brand.
In addition, the company earned around 10 percent of its income through a branded Shopify store. The eCommerce side of the business grew quickly, into three brands with 17 SKUs.
With branded products and established manufacturer relationships, this company was well positioned for continued growth and innovation. New products were in development phases, while older products continued to perform. In 2017, the company was seeing 25 percent year-over-year growth.
To drum up awareness, the company created a blog. This asset was remarkably popular, generating over 2 million visitors and over 6 million page views. But this was virtually the only form of advertising utilized. This oversight meant there was room to expand in this marketplace. A savvy buyer could capitalize on that opportunity and build brand awareness. That could lead to even bigger sales and bigger revenues in time.
The company's books were remarkably clean and organized, with zero adbacks, which allowed a buyer to step in with confidence. A full review of the company's accounting was included in the sale.
"Overall, we felt this was an incredibly solid company with tangible assets, a devoted customer base, a good bit of brand awareness and a great deal of innovative history," says Ryan Russo a managing director at BizSold. "We set a price that was reflective of that past and the possibility of a remarkable future, and we were thrilled to connect our clients with an enthusiastic buyer who will build on the successes the founders experienced. The transaction was smooth and quick, and we just couldn't be happier with the results."
About BizSold: Founded in 2007, BizSold is one of the leading business brokerage firms in the country. BizSold has longstanding relationships with experienced buyers who have come to expect a certain level of quality from the listings they see on BizSold. As a result, the BizSold team is selective about partnerships, looking for opportunities that will benefit buyers. During the company's history, more than 500 businesses have been sold. Founders include former business owners who have successfully built and sold three multi-million dollar companies themselves.