The business operates a dropshipping model, allowing it to function without holding any inventory. In just one year, it was scaled from zero to a million-dollar enterprise, boasting a large customer base. It has a significant online presence with over 80,000 followers on Instagram and a verified account on Pinterest. There is potential for further growth with strategic marketing and leadership.
Operations involve using software to fulfill customer orders directly from suppliers. The business requires only minimal effort, under seven hours a week, to manage, as most tasks are outsourced. Crucial operational components include managing virtual assistants who handle customer service, email marketing, and social media marketing. Specialized skills in managing Facebook and Google ads are necessary to drive sales.
The customer base is predominantly U.S.-based, accounting for 90% of sales, while the rest are international. Customer acquisition is primarily driven by digital marketing through Facebook and Google ads, supported by an email list of over 12,000 subscribers and an SMS list of over 8,000 subscribers.
Financial performance was impacted by COVID-19, leading to a decision to transition ownership for new opportunities. While the business did not implement an official profit and loss system, estimates indicate this month's organic sales reached $3,766.09 with a profitability range of 40-50%. Historical annual profit estimates stand at $15,828 with a 7% margin. All business-related information, including supplier and software details, will be provided to the new owner. Payment processing is handled through systems like 2Checkout and Afterpay.
Flippa’s platform is free for buyers. Here are our tips for first-time buyers:
Before making an offer
1. Look for verified sellers. Sellers should verify their email, phone, and government ID. When a seller has completed all verifications, we identify them with a checkmark like this:
2. Review financials. Financials are seller-provided inputs. Always ask for verified financials. Ask for a tax return or request access to their dashboard. if it’s an ecommerce store get a transaction report.
3. Review traffic. Sellers can grant you access to Google Analytics. Ask for read-only access to verify site traffic.
4. Schedule a call. Communication is key. The best way to find out more is to speak directly with the seller. For your protection, keep all communication within Flippa.
5. Make the offer on Flippa. We’re here to help. Flippa does not charge buyers and by making an offer on Flippa you’ll get access to our post-sales support team.
1. Agreements & Contracts.
Connect with a US-based lawyer or purchase asset-specific template legal documents via Flippa Legal.
2. Conduct Due Diligence.
You can conduct this yourself or use our trusted network of industry-leading due diligence partners. They can provide in-depth analysis, identify hidden risks, and independently assess the value of the business. Learn More