Why would a seller like to sell a profitable Amazon business?
Many investors and sellers don’t understand why someone would want to sell their Amazon business if it’s profitable.
In the beginning, it does sound like there is no sense in selling such a business that makes money, but as Amazon businesses brokers we know that there are many reasons why Amazon sellers who own profitable businesses want to sell their businesses,
Cash Flow
Sometimes, amazon sellers can get into a hard financial situation for various reasons. They are forced to sell a working and profitable business to pay a debt immediately or have money for a living.
Sometimes you can see that the business was not handled the correct way because of an inventory problem or a decline in sales due to low cash flow.
Quitting Amazon
As all Amazon sellers know, Amazon is becoming more competitive over the years so it is much harder to be profitable compared to the past.
Also, you must remember that Amazon can decide to close a listing/account on any given day and destroy your business – sometimes without a justified reason.
Many sellers have a hard time succeeding in Amazon long-term and sometimes they decide to quit Amazon and sell their business to move to other projects or selling on other platforms.
Time Consumption
For many Amazon sellers, their business can be a hobby or a side project that turned out to be more time-consuming than they can handle, As we know running an Amazon business takes time and effort, and sellers sometimes don’t really know what they are getting into.
For that reason, many of our clients are selling to have more free time for other projects or businesses that they’re running.
Exit
In many cases, a business reaches a point where it can’t really grow on its own and with the seller’s abilities and cash flow.
In this case, an exit can be a reward for all your hard work, and with the help of an experienced buyer who will take this business to the next level, it can be worth for him more in the future.