There are a lot of website businesses for sale. A website alone is not a business. A solid e commerce business is more complex than what it seems. If not, it is easy to copy and its value marginal. Every business has multiple key attributes that need to be evaluated to determine if they add or detract from its value. Our process examines at least 13 from years of experience.
The Due Diligence process must do more than simply confirm the business exists and has made money in the past. A good acquisition provides a clear path to future income streams and value growth; a mandate of our process.
A rule of thumb is not a business valuation. It may overstate or understate the real value of an e commerce business. Two businesses with very similar financial history can be worth substantially different amounts of money.
Data bases that purport to "know" what similar privately owned business sold for typically rely on surveys from owners or brokers, have not been audited and have as much reliability as typical small business owners accounting and financial statements. They need to be viewed skeptically.
We can help. We have been personally and intimately involved with hundreds of business sales transactions. Our experience in E Commerce Due Diligence whether it involves Amazon, Shopify, Big Commerce, E-Bay or Private Platforms is unparalleled.
We have seen the good, the bad and the ugly.
If you don't buy a business because of good due diligence it is the best money you could have spent! If you don't buy a good business opportunity because of poor or inexperienced business due diligence , it can be the most costly mistake you ever made! We are happy to discuss at no cost. We are frequently referred by Brokers, Bankers, CPAs, Attorneys & former clients.