For sale is a eight-year-old Pennsylvania-based wholesale Ecommerce seller of lithium ion batteries and accessories. They sell exclusively through their own Shopify-enabled website to both B2B and B2C customers throughout a myriad of industries (though B2B customers represent around 85% of their revenue). The business generates a ton of organic search traffic and appears on the first page of Google results for almost every key word associated with lithium batteries.
The company has a recognizable and established domain name, extremely loyal customers, and have partnered for almost a decade with a Chinese full service battery manufacturer with engineers on staff. With one of the best reputations in the industry, they offer their own proprietary brand of batteries in addition to their other products and boast extremely high margins on some of their proprietary products.
They 100% unconditionally back the authenticity of any battery that they sell and they have quality control procedures and supply relationships in place to make sure this guarantee is met. They can also design and/or manufacture lithium-ion battery packs for custom projects, specializing in small run battery packs for commercial applications.
Revenue dropped from 2021 to 2022 — this is mostly due to the macro environment that affected most businesses. In 2021, there were many product shortages and consumer demand outstripped supply, allowing the business to enjoy higher margins and sales. In 2022, the flip side of this occurred and orders were being cancelled since they already had too much stock from over-ordering in 2021. In addition to that, the company moved away from invoice factoring in Q4 2022 which pushed back their receivables, meaning about another $100K of net profit in Q4 (and its associated gross revenue) was moved back to Q1 2023 so it does not appear in the 2022 financials.
The owner manages the business almost 100% remotely and usually spends around 5-10 hours a week overseeing operations. There are two full-time self-managing W2 employees – a customer service manager and a shipping coordinator (both of whom work from the warehouse). They would be open to staying on with a new owner.