Back to Listings Listing #44589: Entertainment

Asking Price : $97,618

Annual Gross Revenue : $280,368

Annual Net Profit : $43,380

Profit Multiple : x2.25

Inventory Value: -

R-Index : 158

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From the Broker

This listing is for a subscription business created in January 2016 in the entertainment niche. The business sends customers based in the US and Canada a box including several products related to a popular form of entertainment. This is a business that brings in recurring revenue and has seen quarter-on-quarter growth in subscriber numbers.

All of the products for the boxes are sourced in the US. Purchasing products at wholesale has allowed the Seller to negotiate better rates as the number of subscribers increases. Since the products are ordered and shipped on a monthly basis, the business does require a fair amount of work, especially with planning and execution. It is worth mentioning though that the shipping is handled by a third-party fulfillment center.

The Seller has been given the opportunity to work with Amazon and have the box listed on their site. With a possible launch date in late 2018, this could be a great opportunity for the Buyer to grow the business even further.

To acquire new customers, the business uses a combination of paid advertising (Facebook, Instagram, and Pinterest), social media, and email marketing. There is also a blog on the website that features three new pieces of content per week. The content is mostly outsourced, but the Seller does write two posts per month.

Social media marketing is important for this business. The seller is active on social media and posts almost daily. Although there are associated profiles on Facebook, Instagram, Twitter, and Pinterest, the Facebook and Instagram accounts bring in the most amount of traffic.

The email list has over 2800 subscribers that receive a series of automated emails upon signup or a coupon lead magnet. A newsletter is sent out twice per month with additional emails if the Seller decides to run a sale.
Site Highlights
Average Monthly Revenue: $23,364
Average Monthly Expenses: $19,749
Average Monthly Net Profit: $3,615
* We are using the last 12 months to determine the averages.
Assets Included in Sale
Included in the sale of this business are:

2 domains
All site content/files including photos
Cratejoy account
Stripe account
Mailchimp email list
Optin Monster account
Zendesk account
Email address
Google account for email
Social media profiles (Facebook, Instagram, Twitter, Pinterest)
Wordpress blog site
Angel List listing

The business doesn't normally carry inventory, but the fulfillment center may have product on hand before the monthly shipping date. Inventory is not normally included in the list price, further details can be provided to active depositors.
Work/Skills Required
Here's a look at the work required to maintain this business:

Daily tasks:

Preparing/designing and posting social media posts on Facebook/Instagram and Twitter
Responding to customer emails within 24 hours
Monitoring social media posts for comments to reply
Preparing Instagram Stories a few times per week with blog posts information

Weekly tasks:

Creating blog posts (three times per week on Tuesday, Thursday and Saturday, including adding into Wordpress and adding pictures/tags and scheduling of posts)
Posting weekly blog posts on Pinterest
Preparing and setting up Facebook and Pinterest advertising
Updating income and expenses in accounting program Xero
Monitoring incoming payments through Stripe
Managing cash flow


Creating and emailing newsletters to email list twice per month
Creating and emailing subscribers for any upcoming sales or spoilers
Paying outstanding invoices
Sending monthly box list to fulfillment center
Approving box layout before packing and shipping each month
Purchasing shipping labels and emailing them to fulfillment
Picking up leftover box(es) after packing
Taking pictures of monthly box for social media posts and blog post
Sending out box for professional photos every few months
Researching and negotiation with influencers/bloggers to send out boxes to for advertising
Coming up with blog post topics for the month and emailing them to ghostwriter
Monitoring incoming subscriptions as to not exceed the amount of product ordered
Updating the website and Cratejoy marketplace listing when the month's boxes are sold out
Researching products/vendors for upcoming boxes, negotiating prices, and reviewing samples
Planning/Designing the upcoming box presentation
Ordering products and materials for upcoming boxes

Reason for Sale
The Seller is looking to sell this business because running the business takes a lot of time and they'd like to spend more time with their family.

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Listed By

Sale Pending: No

First Seen: Mon, May 14th 2018

Last Updated: Thu, Jun 21st 2018

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