With Amazon’s ecosystem evolving overtime, ModernRetail outlines how Amazon has progressed from a majority online retailer to becoming a broader service company. This piece offers a glimpse on FBA business sales performance through data from Flippa’s marketplace.
A glimpse at FBA business sales
This week, I spoke to Blake Hutchison, CEO of Flippa, a platform that facilitates the buying and selling of e-commerce businesses, websites and more. Everyone ranging from individual entrepreneurs to private-equity firms to Amazon rollup companies use Flippa to buy at least some of their businesses.
That interview will be published on Modern Retail later this week, but in the meantime, I wanted to share a few numbers from Hutchison:
On Flippa, the average Amazon business sold is 5.07 years old, and is bought for a price that’s 2.61x its annual earnings (not including interest, taxes and other one-time expenses).
That’s slightly higher than the average non-Amazon e-commerce business, which is 5.11 years old and sells for a price 2.15x higher than its annual earnings.
Recommended for you
Discover more from Flippa
Subscribe to our Blog
Get the latest blog posts, insight reports and news directly to your inbox every week.