Details - Information last confirmed on November 23, 2020
Our firm presents a compelling eCommerce Retailer that is an unparalleled organic baby formula company has already shown over $12 million in lifetime sales and has simultaneously driven sales to a monthly run rate of over $1M with 15,000 active, repeat customers.
All inventory is purchased directly from approved European suppliers that have been properly vetted to ensure the best products at the best prices. These organic, healthy products are shipped directly from suppliers to a variety of fulfillment centers (both 3PL and a seller owned warehouse) in Europe and across the United States, where the orders are then shipped to customers.
This business is easily relocatable and will allow any new owner a great deal of flexibility from both location and scale perspectives. This company has numerous opportunities for growth immediately at hand, especially when considering their effective relationships with each of their current manufacturers. The business can be expanded to include ALL baby products, including baby cereals, baby food jars, snacks, etc. as the current manufacturers produce all of these items under the same brand names. In the right hands, this organic baby formula company can be significantly, rapidly and seamlessly scaled.
Organic baby formulas sold by this online company are made from the highest quality ingredients, using the highest standards in the industry. All ingredients are sourced from biodynamic farms, which allow livestock to feed on lush pastures and prohibit the use of antibiotics and pesticides. Other quality ensuring policies are considered in the choice of soil, planting and processing and are key considerations present in every organic jar.
All of the European made formulas are produced according to European Union, or EU, standards. EU standards for infant formulas are closer to the standards of drug companies and require much more from manufacturers and sellers than any guidelines set by the U.S. Food and Drug Administration, also known as the FDA.
Because of the consumable nature of the products, seasonality is a non-issue and the working capital requirements are minimal due to high inventory turnover and favorable supplier terms. The current owners also utilize the Brex credit card, which provides 60-day credit terms.
Due to the company’s early focus on achieving growth and supply chain testing, rather than simply emphasizing the bottom line, TTM expenses and earnings results are not indicative of the optimized structure in place today. Using the current configuration and market share, as well as 15,000 active clients and a 75% recurring customer rate. This opportunity is now easily able to maintain over $1.1 million in monthly sales with a bottom line margin of approximately 20% producing annualized sales of over $12 million and earnings of approximately $2.8 million. It is for this reason that this lucrative business is being valued on the annualized earnings of the current business model as it shows stable sales and earnings.
Listing ID: WC2151
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