Ah back at the home office in Southwest Florida now and making money moves! I’m enjoying my nice standing desk and dual monitor setup. I’m here for about a month until I head to Whistler Canada for the summer.

I did get a declined response to the digital product business I made an offer on last week. Things are still in discussion, but the seller doesn’t want to do a clean & proper non-compete. I’ll send probably an email about it once the deal has either died (most likely) or becomes a GO!

Let’s jump into it!

Workplace Safety Digital Product Making $217k

• 💰 Asking Price: $815,000

• 💼 EBITDA: $217,000

• 📊 Revenue: $235,443

• 📅 Established: 2016

Starting off with a digital product… because who doesn’t love infinite scale without cost of goods?

This business sells information and resourses to safety professionals and organization. Talk about great evergreen niche, largely untouched by digital marketers! Memberships account for 79% of the revenue and they have a low churn rate at 2-4%. To make it even better a freelance writer has over one year’s worth of content ready to go. This business looks great on the top!

The source of customer acquisition and who their clients are, would be of interest. Are they selling to large businesses or small? Is the market large enough to sell to with direct response ads, or is strategic biz dev required?

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Dropship Ecom Samurai Armor With Exclusive Supper Deals

• 💰 Asking Price: $825,000

• 💼 EBITDA: $228,964

• 📅 Established: 2001

This business has been selling Samurai Armor for things such as martial arts training, LARPing, cosplay, historical reenactments, for 20+ years. Aside from a niche market, there’s a lot of likable aspects to this business!a high average order value of $680, 70% repeat order rate, strong word of mouth among the Samurai armor community, exclusive contracts with suppliers, prohibiting the sale by other retailers, dropship products, and daily operations handled by a “private services firm” (I believe that is just admin outsourcing). And a 25% margin for an ecom product!

If I were to look into this business further, I’d want to understand the supplier contract — will it be transferable? is it enforceable? I initially thought the TAM (total addressable market) on this stuff might be small…. but some quick research shows there’s plenty of room to grow a business in this space.

Children’s Books On Amazon $293k per Year

• 💰 Asking Price: $1,000,000

• 💼 EBITDA: $293,316

• 📊 Revenue: $683,528

• 📅 Established: 2020

The company designs, publishes, markets, and sells children’s books on various platforms, with sales driven by Amazon. It’s a digital product, it’s growing fast and SBA eligible.

But I don’t like this one. READ “driven by Amazon”. I don’t see any enterprise value in Amazon businesses. You’re beholden to the platform for your customer acquisition and operating standards. Along with that the listing talks about how easy it is to operate… seems like I could just go drop 10k for a few childrens books on Upwork, find a print on demand supplier (no shortage of them), get listed on Amazon, and I’m off to the races.

🤔

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Succulent Plants Ecom, Subscription & Gifting

• 💰 Asking Price: $1,500,000

• 💼 EBITDA: $376,097

• 📊 Revenue: $2,657,654

• 📅 Established: 2017

Here we have a 7 year old ecom brand that sells succulent plants which has been a thriving and growing market among millenials. The business is progessionally managed and staffed with 68% of orders coming through their shopify website, will the rest comes through a mix of 3rd parties such as Amazon and Walmart. Their products all come from North American suppliers and are seemingly dropshipped, considering you really couldn’t inventory plants (or maybe succulents have a shelf life).

The AOV of $25 seems on the low side and increasing the $ easy win. I believe consumers likely wouldn’t be off put by a few more dollars on their ticket which could come through strategic bundling, upsells or simply raising prices by $1.

I do however fear the evergreeness of the market. I see succulents as a decor trend, and Google Trends shows it is on the decline from a peak in 2020. I prefer markets that are evergreen, like workplace safety.

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On that note, which one of these listings do you love (or hate)? Shoot me a reply if you’re inclined!