FAQs

• Is it worth it to buy an ecommerce business?

  Yes, buying an ecommerce business can be a rewarding venture. Like all acquisitions, it’s critical to examine each ecommerce business for sale carefully, paying particular attention to things like inventory management, brand, operating expenses, traffic, accounting practices, persistency of revenue, and profit.
  
  Ecommerce businesses that do well typically have strong, defensible brands, quality products, and an efficient order fulfilment process. Acquiring an ecommerce business with these attributes can be easier and faster than building one from scratch. When deciding whether to buy an ecommerce business, keep an eye out for high sales volume with minimal seasonal fluctuations to make money from day one.

• How much do ecommerce businesses sell for?

  Ecommerce businesses typically sell for 1-2x revenue or 3x profit according to our multiples report for ecommerce businesses sold in the second half of 2022. However, to determine an accurate valuation for an ecommerce business, you need to account for many different factors, including financial performance, total addressable market (TAM), brand, traffic, operating expenses, competition, and more. Ecommerce businesses that check all the right boxes may sell for above-average multiples and those with poorer performance or weaker business attributes may sell for below-average multiples.

• How much can you realistically make with ecommerce?

  Ecommerce is a booming industry expected to be worth over $4 trillion globally. As more people eschew high street stores in favor of online shopping, the opportunities in ecommerce increase. How much you can realistically make with an ecommerce business will depend on many factors including your chosen industry, competition, and your skills and available resources.
  
  Niche products may be easier to sell due to fewer competitors, but the total addressable market (TAM) is likely smaller, which will impact your sales volume. On the other hand, popular products will have a larger TAM and potential for higher sales volume, but you’ll be up against more competition. Many entrepreneurs choose to acquire an existing ecommerce business instead of building one from scratch to start making money from day one.

• Can I sell my ecommerce website?

  Yes, you can sell your ecommerce website on Acquire.com. To list your ecommerce business for sale, you’ll need a three-year profit and loss statement (P&L), financial data, traffic and customer metrics, and other documents our M&A team can help you prepare. With our help, you’ll create an attractive ecommerce business listing that we’ll promote to over 500k buyers and then coach you through the acquisition process to get the price and terms you want.

• How much is my ecommerce store worth?

  An ecommerce store is usually valued using a multiple applied to revenue and profit. The exact multiple you use to find out how much your ecommerce store is worth depends on the quality of your business. An ecommerce store with a strong brand, high profit margin, and growing revenue is likely to be worth more than an ecommerce store that’s been around for less time, in a small addressable market, and relies on paid ads for sales (in other words no brand recognition, word-of-mouth, or other organic growth).