FOR SALE: ~2 Y/O UK eCommerce Store Selling High-AOV Patio/Yard/Garden Products - £11.3k Profit/Mo
LIST PRICE: £ 515,000
- Average Monthly Revenue: £ 66,206
- Average Monthly Net Profit: £ 11,828
- Profit Margin: Gross: 27.0% / Net: 18.8% (21.4% in 2024)
- Monthly Multiplier: 42x (i.e. 3.5 Years) + £18k of Inventory
- Business Created: Aug 2022 (about 2 years old)
- Owner Hours Required: ~20 hours per week
Listing Overview
This 2-year-old primarily dropship eCommerce store has just about everything going for it that you could ask for...
- Everything is trending up... rankings, traffic, revenue, profits, return customer rate, conversion rate, you name it... they're all trending up.
- The vast majority of orders are drop-shipped directly from the supplier to the customer... and yet the profit margins are very strong (27.0% over the past 12 months... but have risen to 28.7% in 2024 year-to-date). Note: Jayden (the owner) buys just one brand of products in bulk and has a 3PL fulfillment center store & ship those items.
- Jayden (the owner) has established strong business relationships with several large B2B clients who place big orders on a recurring basis. There is currently over £100,000 of B2B orders in the pipeline awaiting final sign-off.
- The store sells high-ticket items with large profit margins. Over the past 12 months, the store has had an Average Order Value (AOV) of about £4,400, which translates to just shy of £1,200 gross profit per order given the store's 27.0% gross profit margin. In recent months, however, both the AOV and profit margin have increased due to a larger percentage of sales coming from large B2B orders. In 2024 year-to-date, the store has achieved a £6,100 AOV with an average of £1,750 profit per order (with a 28.7% gross profit margin).
- The store is an authorized dealer/reseller for over 20 of the top UK brands in the market, and sales are quite well-diversified among those brand names and products. The best-selling brand accounts for 42% of revenue (but is diversified amongst many SKUs), and the #2 and #3 brands account for 15% and 13% of revenue, respectively. Lead times are typically around 7 days, which is very fast for the industry.
- With two Virtual Assistants (VAs) in place (one full-time at 40 hours/week and one part-time at around 10 hours/week), the business currently only requires about 20 owner hours per week... and the vast majority of Jayden's time is spent on high-level, big-picture work such as relationship management and determining the business' strategy/direction. (Note: Jayden feels that both VAs are very likely to stay on for the new owner after the sale, if the buyer so desires.)
- Over the past year and a half, Jayden has established a unique strategic partnership with an independent assembly/installation company which has now dedicated a significant portion of its resources to servicing the store's customers exclusively (with extremely fast timetables). Because of this relationship and how Jayden has integrated assembly/install services into the website and ordering process, conversion rates and sales have increased substantially. The buyer will of course take over this existing relationship.
- Jayden's SEO efforts are just starting to pay off. In 2022 and 2023, the site was quite heavility dependent on paid ad campaigns for traffic. But in 2024, the site's rankings have really shot up and the site currently has 212 "Page 1" Google rankings (collectively receiving about 23,200 searches per month), with 49 of those being top 3 rankings (about 3,300 searches/mo). Organic rankings have continued to steadily rise over the past year. Read more about the site's improving rankings and increasing traffic in the Marketing & Traffic section below.
Why sell such an appealing business on the rise? Jayden was recently married and he and his wife plan to travel extensively before starting a family in a couple of years. Jayden's personality is such that he's either all-in (devoting 100% of his time and energy to something) or not at all... plus they'd enjoy some cash for their travel/adventures and a large down payment on a home.
Assets Included in the Sale
Site & Social Media Links
INFORMATION LOCKED!
SIGN THE NDA ›Financial Information
Given the fact that the store sells patio/yard/garden products, sales are obviously strongest during the warmer spring and summer months. But looking at the past 12 months as a whole, the store has averaged about $66.2k revenue and $11.8k net profit per month.
Over the past 12 months, the store has had a 27.0% gross profit margin (which is quite high for a dropshipping-based store selling high-priced products) and a very solid 18.8% net profit margin (after all expenses). Over the most recent few months, those percentages have increased due to a combination of:
a) a larger percentage of the site's visitors coming from free organic traffic thanks to the site's ever-improving keyword rankings (as discussed in the Marketing & Traffic section below), and
b) large B2B sales (many of which have become recurring in nature) from strong business relationships that have been established (which was touched on in the Overview section above).
Looking at just the most recent 6 months in 2024 (Jan - Jun), the store has had an even higher 28.7% gross profit margin and 21.4% net profit margin. These positive trends should continue as the store's rankings continue to climb and B2B client relationships expand and deepen.
The owner will of course give the buyer an opportunity to conduct extensive due diligence and verify all revenues and expenses prior to closing, together with a thorough review of the supply chain, day-to-day operations and other business logistics.
Marketing & Traffic
Following is the Google Analytics 'User Acquisition' report from July 20, 2023 (the first full day after switching to Google Analytics' new GA4 technology) through June 2024 month-end, which shows the site's traffic breakdown over that period. In the graph portion of the screenshot (on the left side), the 'Organic Search' line is selected to highlight how free organic traffic has steadily increased over the past several months.
For the entire 11.5-month period shown in the above report, the traffic breakdown is as follows:
- Paid Shopping: 50.3%
- Organic Search: 34.4%
- Direct: 9.2%
- Paid Search: 3.3%
- Referral: 1.6%
In recent months, however, a much larger percentage of total traffic has been free organic traffic as the site's keyword rankings have steadily improved. Here is a screenshot of the same Google Analytics 'User Acquisition' report for the past 3 months (April - June 2024) which shows that Organic Search is currently driving over half of the site's traffic.
Over the past 3 months, the traffic breakdown is as follows:
- Organic Search: 51.7%
- Paid Shopping: 36.6%
- Direct: 7.8%
- Paid Search: 2.2%
Free organic search traffic, of course, comes from high rankings in Google and other search engines. The following table shows how many keyword phrases (i.e. search phrases) the site ranks for in Google.co.uk (UK) and the combined monthly search volume for each grouping. All data is from Ahrefs.com as of July 17, 2024.
Google Rank | # of KW Phrases | Monthly Searches |
#1 | 22 | 1,190 |
#2 | 8 | 530 |
#3 | 19 | 1,590 |
#4-5 | 44 | 5,300 |
#6-7 | 53 | 5,410 |
#8-10 | 66 | 9,210 |
#11-15 | 103 | 8,680 |
#16-20 | 111 | 8,970 |
Note: After you sign the NDA, you can download the Ahrefs.com report from the Additional Information & Reports section to see the specific search terms (i.e. keyword phrases) the site ranks for and other rankings data.
In total, the site currently has:
- 22 #1 rankings (totaling 1,190 searches per month)
- 49 top 3 rankings (3,310 searches/month)
- 93 top 5 rankings (8,610 searches/mo)
- 212 top 10 rankings (23,230 searches/mo)
- An additional 214 page 2 rankings (17,650 searches/mo) on their way to becoming page 1 rankings
Here is a screenshot of the summary page from Ahrefs.com showing how the site's rankings have steadily improved over the past 6 months.
As you can see, this site's rankings and traffic (which are obviously the key drivers of sales and profits) have shot up over the last several months. In the past month (June 2024), the site had 9,883 visitors from free organic search traffic. As free traffic makes up an increasingly larger percentage of total traffic, the site's net profit percentage also continues to rise. As highlighted in the Financial Information section above, over the 6 months of 2024 the store's net profit percentage has risen to 21.4% (compared to 11.6% over the previous 6 months). Profitability will continue to rise as a higher and higher percentage of visitors come from free organic traffic (together with return customers, particularly high-value B2B customers that place large orders).
Buying Process
You can make an offer for this business here. We will immediately present your offer to the sellers. If they accept your offer, we'll notify you immediately and update this page to let other interested parties know that an offer has been accepted.
Once your offer is accepted, a 10- to 30-day due diligence period will begin (during which time other interested parties may place a "back-up offer" in case the sale falls through for whatever reason). During this due diligence period, we'll work closely with you and the seller to help you complete due diligence and prepare to close.
Once the Asset Purchase Agreement (APA) is signed and the sale is completed, we will update this page to let other interested parties know that the sale has been finalized and remove this listing from the Biz Sellers Marketplace.
Sign NDA to Get More Information
Additional Information & Reports
INFORMATION LOCKED!
SIGN THE NDA ›Have Questions About This Business?
Have a Business of Your Own You're Looking to Sell?
Biz Sellers is where you will net more & pay less when it comes to selling your online business! Don't risk it with anyone but the best when it comes to selling your business. Click an option below to learn more about our brokering service or to see what your online business is worth!