Amazon brandNov 13
Two-Brand Home and Kitchen Products Business on Amazon
Its home and kitchen products, sold under two brands with design patents, sell only through Amazon, and the owner spends about six hours a week on it.
- Ask
- $282K
- Profit
- $113K
- Multiple
- 2.5x
- Ask
- $282K
- Revenue
- $752K
- Profit
- $113K
- Margin
- 15%
- Multiple
- 2.5x
- Age
- 7 yrs (2019)
How it rates
ValuationFair
Similar Amazon brands we've tracked mostly ask 2.2–3.2x profit; this one asks 2.5x.
Durability
Selling since 2019 with 44 products across two brands, but every sale runs through Amazon.
Hands-off
The owner works about 6 hours a week checking sales, ads, reviews and stock levels.
Why it's interesting
- 44 products across two brands, and the best-seller has over 5,800 reviews averaging 4.7 stars.
- The sale includes design patents, a US trademark, Brand Registry and the supplier relationships, with 90 days of seller support that covers handing over the supplier.
- About 6 months of stock is on hand, held partly in Amazon's warehouses and partly at the supplier's facility in China.
What to watch
- Amazon is the only sales channel, and the listing names rising ad prices and account suspension as risks. It doesn't say how much of revenue comes from ads.
- The Seller Central account's legal entity is locked to Korea. A buyer needs a Korean entity, or has to wait for an unlock that could delay the transfer, and the deal can be reversed if the unlock fails.
- Inventory isn't included in the asking price, so the 6 months of stock will likely add a large amount to the total cost.
- Profit is 15% of revenue and the products are sourced from China, so higher Amazon fees, ad costs or tariffs could cut into it.
Ask the seller
- What were revenue and profit in each of the last three years, and how much of revenue comes from the top product?
- What share of sales comes from ads, and what is total ad spend as a share of revenue?
- What is the inventory worth at cost, and can the Korea legal-entity lock be lifted before closing?
Growth plays
- Add new colors and design variations of the best-selling product, using its review base to support the launch.
- Sell the patented designs wholesale to home-goods boutiques and gift shops through Faire.
- List the top products on Walmart Marketplace, drawing on the stock already held at the supplier's facility in China.
Nov 13Added to Acumen Wire