We're sunsetting PodQuest on 2025-07-28. Thank you for your support!
Export Podcast Subscriptions
cover of episode This 19-Year-Old Surf Shop Makes $315K/Year — But Would You Buy It?

This 19-Year-Old Surf Shop Makes $315K/Year — But Would You Buy It?

2025/4/11
logo of podcast Acquisitions Anonymous - #1 for business buying, selling and operating

Acquisitions Anonymous - #1 for business buying, selling and operating

Transcript

Shownotes Transcript

This week the team breaks down a 19-year-old e-commerce surfing accessories business with $3.4M in revenue and $315k in profit — but is the $1M asking price plus $1.5M in inventory worth it?

Business Listing - https://synergybb.com/listings/established-helicopter-installation-company-in-mo/)Sponsors:⚙️ This episode is sponsored by Inzo Technologies — IT solutions built specifically for small businesses and acquisition entrepreneurs. Get a complimentary IT audit of your target business at: https://inzotechnologies.com) or email Nick directly at [email protected].💸 This episode is also brought to you by Capital Pad — the marketplace connecting acquisition entrepreneurs with investors. If you're looking to raise capital or invest in small businesses, visit: https://capitalpad.com)Episode Description:In this episode, Bill D'Alessandro, Heather Endresen, and Mills Snell dig into a fascinating 19-year-old e-commerce business selling surfing accessories. With $3.4M in revenue, $315k in profit, and a $1M asking price (plus a whopping $1.5M in inventory), the team debates whether this old-school online retailer is a smart buy or a capital trap. They discuss Amazon dependence, inventory consignment strategies, growth opportunities in marketing, and the risks of low-margin e-commerce models. This is the quintessential e-commerce deal breakdown!Key Highlights:

  • Overview of the 19-year-old surfing accessories e-commerce business
  • $3.4M revenue with $315k in EBITDA
  • The challenge of $1.5M in inventory and low margins
  • Why consignment inventory might be essential to closing this deal
  • Breakdown of Amazon vs. DTC revenue mix
  • Marketing opportunities: email lists, Meta audiences, SEO
  • Risks of thin-margin resellers vs. owning your own products
  • Financing challenges with SBA lenders and consignment inventory
  • How lifestyle businesses create opportunity for acquisition entrepreneurs
  • Bill’s real-world insight on consignment deal structures

Subscribe to weekly our Newsletter)** and get curated deals in your inbox**Advertise with us by clicking here)

  • Do you love Acquanon and want to see our smiling faces? Subscribe to our Youtube channel).
  • Do you enjoy our content? Rate our show)!
  • Follow us on Twitter @acquanon) Learnings about small business acquisitions and operations.

For inquiries or suggestions, email us at [email protected]