Started in July 2017, this pre-owned watch business has established itself as a strong performer in the niche. With almost no marketing, the business generated $2.7M in top line revenue and netted $496K in the trailing twelve months. This represents 12% year over year growth in gross revenue, and 19% on the bottom line. Not only are the sales going up, but the margins are improving as well.
There are several paths to additional growth. The business made one brief attempt at PPC advertising, and it produced more leads than they could manage. The roots of the company are in consignment sales, and it was a strong strategy for building the business without injecting much cash. The focus switched to buying inventory because the margins were better. Ramping up consignment sales would be a low-cost path to increased revenue. Expansion into new watch sales would also increase revenue, and the business is in the early stages of doing this.
Learning how to value and trade in watches may seem like a daunting task. However, much of that work can be outsourced to contractor watchmakers. In addition, the owner has created a detailed training video that would teach a new owner how to value pre-owned watches.
The business is currently run from a small office in Florida, but it could be operated from almost anywhere in the world. All inventory fits in a single gun safe, making a transfer or move relatively easy.
Access the full business summary, profit and loss statements, and a detailed interview with the owner of this business
Chris Guthrie has a decade of experience in building, buying, and selling online businesses across numerous industries. Chris has experience with building and buying content websites monetized via advertising and affiliate marketing, partnering with developers to create a SaaS business as well as creating WordPress plugins and themes, selling physical products on Amazon and more.
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