Buy a business for sale or sell a business for free. Find businesses for sale, franchises, business brokers & commercial loans.

Advanced Search  |   Listings By Email  |   Message Boards  |   Professionals Directory  |   Loans & Financing  |   Business & Mortgage Notes  |   Buyer Resources

Tapsnap Franchise Opportunity

Wireless Zone Franchise Opportunity

RadioShack Franchise Opportunity

Business For Sale Search Results

New Search

Get Free Information on all of the Top Franchises

Ask questions in our Entrepreneur Forums

Get a Business Loan

Seeking Pre - Ipo Capital For Ecommerce Rollup
Location: United States
Industry: Technology – Internet Related > E-Commerce and E-Tailers




Business Summary

We are looking to secure acquisition financing for at least 3 eCommerce brands and then take the rollup public. We have a robust pipeline of eCommerce brands that we have access to via option contracts. The typical ebitda multiple paid for an eCommerce brand is 4-6x. Through our network and relationships, we can secure quality brands for less than that (around 3x or less). For example, with $10 million, we could acquire $3M - $4M in ebitda with the brands still being on the ascent. Using a conservative 15 PE Ratio, a potential market cap would be anywhere between $45M to $60M. We can structure the contracts with the individual brand owners to be part of the deal paid in cash at closing, and the rest contingent on hitting agreed upon projections for the next 12-24 months. This would give the public rollup time to hire employees and learn the brands to be able to operate them before the original owner leaves the project. We would work with the brand owners to help their businesses grow on new platforms and consider additional revenue streams (ie retail).

Regarding the initial investment, the cash would be used to acquire the brands (acquisition financing) and for working capital to ensure the brands are able to pay for the digital ads and inventory. The purpose of the IPO is to leverage the capital raised to scale existing brands and acquire new brands. Through some basic modeling, it's clear that we should be able to double the initial market cap at IPO within 12 months with one or two acquisitions using capital raised at the IPO. The ultimate goal is to have 15-20 brands under management. Starting with 3 is very manageable - maybe 4-5 depending on the nature of the brand (ie Amazon brands are very low maintenance, can run many of these).

The leadership team consists of three team members. Between the three, there is a history of taking a couple companies public and someone who has been the CFO of a Nasdaq company.


Financials

Asking Price Range:  $5.0M - $10.0M
Gross Revenues:   $20,000,000
Cash Flow:   $4,000,000
Cash Flow Type:  EBITDA
Seller Financing:  Not Disclosed

About The Business

Year Established:  2017
Number of Employees:  6 - 9
Relocatable:  Not Disclosed
Franchise:  Not Disclosed
Current Real Estate:  Leased

About The Sale

Reason For Selling:  Acquisition Financing for a Rollup that will be taken Public

Photos

View Larger Photo(s) Of Business
Seeking Pre - Ipo Capital For Ecommerce Rollup Photo 1




Print Listing Id: 700357070
Can't Find Your Dream Business? Get Free Franchise Information on all the top franchises, Post a Free Wanted Ad on our Message Boards, Get New Listings sent to you, or try our Advanced Search.

Don't forget to Sign up for our Newsletter and get free tips on how to buy or sell a business from the leading industry experts!

Advertise Your Business For Sale   Free Listing!


Related Searches: Application Service Providers  >  E-Commerce and E-Tailers  >  Internet Service Providers  >  Web Design and Software Development  >  Other Technology - Internet Related  > 

Also See: Franchise Opportunities > Franchise Resales

Also See: Franchise Opportunities > Franchise Resales > Business Brokers > Commercial Property For Sale > Commercial Property For Lease



CAN'T FIND A BUSINESS?
Click here to post a free "business wanted" message to the Message Boards.

Click here to get new business for sale listings emailed to you automatically.

Contact the Seller
* All fields are required
Re: GlobalBX ID: 700357070
Your Role
Buyer Type
Experience Level

Yes! I want my FREE e-book and newsletter.
Do Not Send Spam
GlobalBX does not tolerate unsolicited commercial email or "spam". If you are not a potential buyer of this business, do not use this form.