Non-compete for an E-commerce brand

Member resources:

Frequent asked questions:

What is Searchfunder.com?

Searchfunder.com is an online community of searchers, investors, lenders, brokers and other professionals. Over 80% of those involved in searchfunds maintain a Searchfunder account to help them network, hire, and mentor others.

What are the benefits of membership?

In addition to accessing the most active online network of business buyers, Searchfunder licenses research that is simply not cost effective for individuals. Access over 15,000 industry reports and 50,000 transaction financials. You also get monthly credits for contact information for your company sourcing campaign with the option to purchase more at drastically discounted rates. Searchfunder has pre-purchased access from these data providers in order to empower individual buyers and to help searchers level the playing field versus private equity.

Do you have deals?

While we are primarily a buy-side network, we do have hundreds of brokers that regularly post deals to the community.

Can I find an internship on Searchfunder?

Absolutely! We have the industry's largest intern job board. If you are considering a search, the first step is to help another business buyer so you can hit the ground running.

What does it cost?

Searchfunder is a subscription service. We offer flexible monthly, annual and lifetime memberships.

Monthly

$79 / month

Annual

$19 / month

Lifetime

$432 / once

Those who maintain an account with us for over 4 continuous years are permanently added to the community without the need for a membership.

Do I need an MBA to join?

While a large number of our members come from dedicated programs at Harvard Business School, Stanford GSB, Chicago Booth, and other top programs, searching is no longer reserved for the elite. With the current abundance of dry powder in private equity, and an increasing number of business owners reaching retirement age, good deals rarely go unfunded.

Post a question, deal, job, etc...

Make a post...

Complete registration to post.

by a searcher from Tulane University - A. B. Freeman School of Business
in Brooklyn, NY, USA

2yrs ago

Non-compete for an E-commerce brand

How would you suggest crafting a non-compete for an e-commerce brand that is the essentially with no physical location. Anyone have experience with this? Any lessons learned, you’d be willing to share?

0 Likes

390 Views

reply by a searcher 2yrs ago
from The University of Texas at Austin in Chicago, IL, USA

I use the below and it's enforceable. It also tells you a lot about the Seller and where his/her head is at.

I ask for 20-30% of revenue if they sell the same or similar product, within a certain geography and within [x] years. You have to define these terms. If they take a customer and sell them the same or similar product, it's 100% revenue because that is essentially what you are acquiring in the deal.

reply by a professional 2yrs ago
from Southern Methodist University in Raleigh, NC, USA

My two cents for an e-commerce non-compete: 1. Clearly define restricted activities (working for competitor, starting similar biz, soliciting customers, etc) 2. Keep time period reasonable (1-2 years is common) 3. Tailor geographic scope to your key markets 4. Tie to legitimate biz interest (protecting info, customers, strategies) 5. Consider compensation for the restriction 6. Have an attorney review to ensure enforceability! The key is being specific and reasonable to protect your core business without overreaching.