Business Summary:
Online Retailer of Proprietary Brand Home Scents & Scented Accessories.Established as a Brand and popular e-commerce destination for those seeking high added value scents for the home and an ideal platform for diversification into other homeware specific product sectors.Location: London.Asking Price: £140,000 plus Stock at Valuation.2024 Turnover: circa £170,000.2024 Gross Profit: circa £58,000.2024 EBIT circa £45,000.Current Stock assets circa £45,000.The Business: This business is a well established Brand in the homewares sector and as a specialised retailer of scents, diffusers, candles & accessories to customers throughout the UK. Its portfolio of products is retailed through its own list of B2B clients including international distributors, its own online store website and through other online channels and marketplaces such as Amazon, Faire, Ankorstore and Orderchamp.The business was established in 2017 by the vendor, following a passion for the artisanal heritage that surrounded him when young. These vivid memories inspired the vendor to design and develop unique scents and aromas for the home that match the mood of many UK customers with a desire for a sophisticated atmosphere, products are ethically sourced and their unique artistic palate beautifully marry heritage with contemporary trends.The vendor has made significant investment in developing a brand & comprehensive portfolio of products that cross over all price points and maintains a lean and cost controlled business with robust in-house routines for product returns, stock management, warehousing and payments.The current owner strongly believes that the business is well placed to take advantage of its position in the marketplace, its recall among customers and placing in organic search results with common web search engines.Much has been done by the current owners to build a highly functional e-commerce retail business with positive trading results; the business is perfectly positioned for growthThe online store has become the first choice for many customers seeking scented products for their homes. Its presence at the forefront of natural search results in search engines, combined with outstanding customer reviews leads to significant customer traffic and its product portfolio has always performed well. Essentially the hard decisions have been taken and their impacts absorbed, its now very well placed to consider marketing mix elements, in order to enable this business to meet its considerable potential.The business is owner/managed and the vendor manages all daily activites.About the site: The current site is the fourth complete refresh; along with numerous minor upgrades a cumulative investment (in web design/construction) of more than £15,000. The site is easy to use, geared to searching by either sport, brand or category. It works equally well across all user devices (PC, tablet, mobile) and uses the WooCommerce open-source platform. There has not been a single security breach in the 10 years since the website moved to the WooCommerce platform. The site can benefit from significant add spend that the vendors have existing companies that they work with that can increase the traffic to site. Conversion rate is at above market ac=average of 3.5%. this can easily result in 12000 monthly visitors with an average order of £45 yielding Circa £17000 per month added revenue.Any buyer will certainly achieve break even within a 14 month period.The site performs well for organic searches due to both its longevity and high information content. Current marketing tools include:Organic Social.Organic Search/SEO.Display.Email.Key Considerations:• Well known and respected UK online retail brand.• Small team – business can be operated by one person. • Excellent reputation and trading history.• Excellent platform for diversification.• Streamlined operational processes, and advanced technologies.• Excellent stock and inventory controls.• Substantial turnover and attractive future profit margins.Financials:On the basis that the Business is being sold on a zero cash-zero debt basis, full and up to date accounts are available upon request.Asking Price:Offers in the region of £140,000 are invited for 100% of all the issued capital of the company. There will be a £ for £ adjustment to the final sale price to reflect any upward/downward movement away from the £45,000 target net asset price.
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