TAS 329: The EXACT Steps to Buy and SELL FBA Businesses + Mistakes to Avoid with Justin Cooke

Have you considered buying or selling an FBA business? Then you came to the right place! On this episode of The Amazing Seller, Scott sits down with Justin Cooke. Justin specializes in facilitating the sale of eCommerce businesses. He runs Empire Flippers and has some powerful insights to share with the TAS audience today. Justin and Scott cover the importance of diversification, how to position your FBA business for sale, and how starting and selling small FBA businesses can be profitable. There is a lot of content in this episode so make sure you grab a pen and some paper and even check out the transcript at the end of this post!

How important is it to diversify your business? 

How important is it to diversify your business? You hear a lot about how important it is to diversify your income in the eCommerce industry. Scott and Justin emphasize how necessary it is to grow your business in other sectors. Justin learned this firsthand when he had to make adjustments to his first business early on. The key is to remember that your business isn’t the moneymaker, you are. You are the one who has the skills and the ability to get stuff done. That is the lesson that Justin learned when he had to take his skills and pivot to find success. To learn more about Justin and Empire Flippers, make sure to listen to this episode of The Amazing Seller!

What makes an FBA business attractive to a potential buyer?

What makes an FBA business attractive to a potential buyer? If you are considering selling your FBA business, you need to know that cash flowing assets are key. Potential buyers are looking for a business that is ready to go and making consistent profits. They want to be able to take the products that you have refined and marketed and plug them into their operation. To learn more about how you can position your FBA business to look attractive and turn a profit, make sure to listen to this episode of The Amazing Seller! 

Is starting up and selling FBA business a feasible business model?

Is starting up and selling multiple FBA businesses a feasible business model? If you have found your niche and you are really successful at identifying and marketing products well it would be a great plan to start up small FBA businesses and sell them for a profit. Going down this route would put you in a great position to understand the market and leverage your skills as an entrepreneur and startup specialist. Scott’s guest Justin Cooke goes through the benefits of honing in on this ability and turning a significant profit. You don’t want to miss valuable episode of The Amazing Seller!

OUTLINE OF THIS EPISODE OF THE AMAZING SELLER

• [0:03] Scott’s introduction to this episode of the podcast!
• [3:20] Justin Cooke joins the show.
• [10:30] Scott and Justin talk about adapting to changes in the industry.
• [12:40] Justin talks about diversification.
• [17:30] What makes an online business attractive to buyer?
• [24:40] Justin gives an example of an online business helped sell.
• [28:40] Who are the buyers who purchase these businesses?
• [33:30] Justin talks about how these online business are purchased.
• [36:30] How does the inventory factor into the sale?
• [39:30] How to do you transfer an FBA business?
• [44:00] Do lawyers get involved in this process?
• [46:00] What are these buyers doing, are they growing it or maintaining it?
• [48:40] What is the selling sweet spot for FBA businesses?
• [51:10] Are Amazon Associate and Ad Sense sites still selling well?
• [54:20] Is it a business model for someone who can start up these Amazon seller businesses and then flip them?
• [59:00] Last tips from Justin.

RESOURCES MENTIONED IN THIS EPISODE

• Justin’s Twitter page: twitter.com/EmpireFlippers
• Justin’s Facebook page: facebook.com/EmpireFlippers
• Justin’s company: Empire Flippers
• Justin's Podcast: Empire Flippers
• Podcast: Web Equity Show - Don't Build a Startup, Buy One!
• Resources from Empire Flipper for TAS followers found - HERE