This is an online only craft retailer that is in West Metro Denver, Colorado. They have a huge selection of high-quality inventory, with over 15,000 products online and in stock located on site. Crafters and, Fashion Designers love their fast service, huge variety, and custom customer service.
The 2024 revenues were 3.5M with properly adjusted earnings of 420K. This is a profit margin of 10% which is good for retailers, and they did this with an advertising expense of only 25K which is less than 1% of revenues. The sales price is 875K plus inventory currently estimated to be over 650K which they will sell for 500K.

The owners state that they are not advertising/marketing people and that a marketing oriented new owner can grow this business much larger. The location is using less than 50% of their warehouse space and therefore; have decided to allow the new owner to move the business at the Seller’s cost.

The Sellers are husband and wife in their mid 60’s(Retirement age). They love their business but she is an artist/designer and wants to spend more time in her studio creating. He was a website designer and puts together the weekly newsletter to their subscribers and updates the website. Both are willing to help the new owner part time if the new buyer wants one or both of them to.

This business has helped to modernize an old industry through updated colors and patterns through a very well-known company both domestically and internationally. This company has built a fantastic foundation that the new owner can build on.

This company has a great reputation as proven by their 4.8 star Google rating, 4.7 star Facebook with 12,448 followers, 95,000 Pinterest followers, and 117,000 subscribers to their biweekly online newsletter. They have strong recurring revenues based on their selection, excellent interactive quality website, customer service, and pricing. There is an opportunity for growth with overseas customers, as their US prices are typically half of the price per yard or meter, in other countries like the UK, Canada, and Australia. Some of their largest customers are overseas, repackaging their products to sell retail in their own countries.

They have 2 “key” employees, an office manager who has been with them for 17 years and is has been thoroughly groomed to take over one of the owners job when the business is sold, and a warehouse manager who has been there for 12 years and can fill in for every key employee also.

LOCATION: The Sellers will now allow the buyer of the business to move the business into a more efficient space. They have considered all options including dividing their current space up and after meeting with experts have decided that moving the business would be the best option for all. They believe 6K to 8K square feet would be sufficient for the current operations and still allow for some growth. They currently occupy over 12K square feet that is currently less than 50% utilized. They have identified other locations between 6K and 8K in size that are available now which will satisfy a banks and the SBA’s requirement to make a lease adjustment in their calculations. The locations are close enough to their location that there will be little to no risk of losing any employees, has enough parking, and a meaningful reduction in cost per square foot, room for growth, and in a condition that will require little buildout. We estimate this will save an estimated 135K per year in lease/double net cost compared to what they are paying now. The Sellers understand that the cost of this move will fall mostly if not entirely to them which they estimate at 40K to 50K(they have already done this once in 2018). They will not move the business before a sale of the business because each potential buyer may want a different location, size, and buildout.