This wholesale beauty supply store focuses on a particular segment of the beauty supply industry. The company, which was founded in 2011, did approximately $950,000 in online sales and $35,000 in retail sales. The company has a presence on Amazon as well as E-bay, Shopify and recently opened a bricks and mortar store.
This 2,840 square foot location is comprised of a 1,000 square foot retail operation and a nearly 2,000 square foot wholesale one. It leases for $3,050 per month on a lease that expires in 2019. All of the business's furniture, fixtures, equipment and online wholesale portion will be included in the sale. Approximately $250,000 - $300,000 in inventory will be sold at cost at close.
Competition certainly exists in the wholesale and retail portion of the beauty supply industry. The company focuses on a single segment of the industry, and has managed to create a sizeable online wholesale and retail presence in as very short period of time.
New operators will stand to dramatically benefit from a strengthened Euro, as its devaluation vs. the dollar has dramatically impacted European wholesale and retail sales. Management may wish to continue to focus on a single segment of the beauty care industry or they may choose to broaden the scope of their product offering. They may bolster and promote the higher margin retail portion of the business or expand the retail bricks and mortar operation by opening additional locations.
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