Ecommerce BusinessFor Sale
← All businesses for sale
Subscription
Reported

Established Snack Subscription Service with Strong Customer Retention

Food and Drink · US · 12 years trading

Asking Price
$240K
Annual Profit (SDE)
$128K
Annual Revenue
$490K
Multiple
1.87x

Financials are reported by the seller and have not yet been independently verified.

Established Snack Subscription Service with Strong Customer Retention

Executive overview

This snack subscription service, operational for nearly 15 years, specializes in curating clean-label snacks tailored to specific diets like vegan and gluten-free. The business appeals primarily to health-conscious women aged 27-45 who prefer convenient, healthier snack options without searching in stores. With an impressive monthly profit of approximately $8,895, and a strong 26% profit margin, this business is primarily operated via a Shopify store with the support of a third-party logistics provider. Customers are largely prepaid, enhancing cash flow and ensuring high retention. Opportunities for a new owner include expanding advertising efforts across platforms like Meta and TikTok to tap into new markets and enhance profitability.

Operational highlights

  • $106,740 annual profit with a 26% margin.
  • Low customer return rate of just 2.5%.
  • Predominantly prepaid revenue from 3-12 month subscription plans.
Profit margin
26.2%
Monthly revenue
$41K
Monthly profit
$11K
Traffic sources
Social media
Email marketing
Sales channels
Shopify

Growth opportunities

  • Expand advertising budget to underutilized channels.
  • Explore partnerships with affiliates to broaden reach.
  • Leverage holiday season marketing for sales spikes.

Risks to assess

  • Seasonality impacts revenue significantly during non-holiday periods.
  • Limited marketing channels currently utilized may restrict growth potential.
  • Dependence on third-party fulfillment services could lead to operational challenges.