Considering an eCommerce business

by a searcher from Northwestern University - Kellogg School of Management

1 month ago

Hi

Im considering an eCommerce business that white labels its main products. They do about $15mm in revenue and are making $3mm in EBIT 

Competency is in supply chain and marketing. It feels fragile and tariffs are a concern here. 

what else should I be thinking about before making an offer? All sales are online at this time, about half on amazon 

Also, what does a great operator / CEO look like for a company like this to bring it to the next level?

3 likes
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25 comments

searcher from University of Pennsylvania - The Wharton School

Thanks for the tag ^Searchfunder member‌; Sean - Echoing the views of many - beware of platform risk with Amazon and margin compression. You should review the trends in GP% by product. As part of your due diligence, pick up a tool like Jungle Scout, https://www.junglescout.com/, and check out your competition. Do you have a sustainable edge?

3 weeks ago | like reply | 0 likes

searcher from The University of North Carolina at Chapel Hill - Kenan-Flagler Business School

I know a few people in the space, happy to be helpful if I can. Feel free to shoot me a message at --@----.com

4 weeks ago | like reply | 0 likes

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