SBA Pre-Qualified: Custom Artwork Shopify Business | 75% Digital Sales
Asking Price: | $1,400,000 |
Gross Revenue: | $3,356,396 |
Established Year: | 2017 |
Cash Flow: | $570,668 |
EBITDA: | $570,668 |
Started in 2017, this Shopify-based portfolio is an industry leader in custom portraits inspired by pop culture. Strong gross margins, profitable first-time customer acquisition, turnkey operations with a hard-working and loyal team that will transfer, a huge existing audience, a negative cash cycle, and multiple achievable growth opportunities make this opportunity especially attractive.
This business is ideal for a buyer looking to take an already-existing, operationally efficient, and underutilized team and system and use them to expand into neighboring portrait styles and international markets. The vision just needs to be set, as the supporting infrastructure to handle the order volume of such endeavors is available.
Built on a foundation of strong and systematic operations, this business utilizes a team for all day-to-day operations to automate the creation and fulfillment process of the entire artistry and customer support team. This allows every single order to be customized and 100% hand-drawn.
No inventory is needed to run this ecommerce company as around 75% of sales are for digital artwork; the remaining 25% of sales utilize a print-on-demand company for manufacturing and fulfillment.
Since these products make the perfect personalized gifts, November through January and May through June have been the top-performing months. This business is available right before its historic best-selling months, allowing a new owner to be ready for the busy season and capture a quicker return on investment. This difference also helps the company balance out cash flows even though the brand is seasonal.
The current owner has pushed the business as far as they can take it and has acquired another business to spend more time on, hence why they are looking to sell and only spending about 5 hours per week on the business, mostly in team meetings.
The business is SBA pre-qualified. The term sheet is provided with the rest of the business information.
Key Benefits:
Unique Products: The company has truly unforgettable custom product lines.
Excellent Reputation: Over 15,000 reviews average 4.7+ stars across all platforms.
No Inventory: With 75% of sales being digital products and the remaining 25% being manufactured and fulfilled by a print-on-demand company, no inventory is required.
Negative Cash Cycle: Revenues from customers are collected prior to employees/contractors/suppliers being paid, leading to no need for working capital injections and creating infinite scalability.
Experienced Team: A dedicated and skilled team of artists and customer service reps is ready and has untapped capacity to continue delivering high-quality products.
Profitable Customer Acquisition: With an average order value of ~$120, a customer acquisition cost of ~$60, and 74% gross margins, customers are profitable on their first purchase.
Engaged Customer Base: Over 300,000 social media followers, 250,000 email subscribers, and 35,000 SMS subscribers will transfer with the business.
Highly Automated: Strong systems and software help the company automate the creation and fulfillment process and manage the day-to-day operations.
Creative Flexibility: A new owner can explore new themes and styles while leveraging the existing brand strength.