Buy a dropship business
Keeping in mind that I started this website with the intention to build a good directory of drop shipping companies that might become a nice sourcing of products for my visitors I keep an eye on all kind of information that is related to drop shipping.
Sitepoint.com is a nice place to see what kind of drop ship business are out there. Moreover, one can find drop ship business for sale via sitepoint.com marketplace.
One of the latest offers of drop ship business for sale includes this one:
Revenue is 18,000 to 29,000 monthly. Proof included! Quick Sale!
* URL: 1heavenlysleep.com
* Established: 3 Sep 2003
* Uniques/Month: 3,500
* Page views/month: 25,000
* Monthly Revenue: 18000-30000
* PageRank: 5
* Listed: 13 Nov 2006
Description:
Thank you for taking the time to look into our information. This is important since you will be the one who will take over the business.
Business : 1HeavenlySleep.Com
To find out what we are and who we are, please go to our site and browse through. If you have any questions, feel free to ask.
This is a dropship internet business. You will not have any inventory. In other words, you take orders from customers and order from suppliers, and suppliers will ship it directly to customers’ houses.
Product: Bedding Products (High quality products made in United States)
Equal quality with hotels – WestIn, Sheraton,
Customers are satisfied with the products with all of our memory foam mattress with pillow top as well as latex, topper, and adjustable bed.
Our target market is mainly in United States, although we offer to market it to different part of the worlds, such as Canada. We have several customers from Canada, but the shipping cost will be higher. This applies to other customers worldwide.
Like any business, this is not a business where you sleep and the money will come automatically.
This is important regarding revenues and profits. So many people have asked me about the profit margin.
Why is the profit margin is fixed at 40 percent?
The reason I put 40% at the P/L statement is to make things easier to calculate. The profit can be between 30 percent to even 50% for some products. So it is various. In average, the profit for each product is 40 percent.
In other words, if the product cost $3000, then your profit would be $1200.
Again, you can give them a discount as you wish.
Customers usually call in and ask about deals or discounts. I usually just tell them, I will give them 150 dollars off, or 100 dollar off, or more depending on how nice you are to the customers.
Minimum bid: $150,000
Buy It Now: $225,000
Payment: One lump sump would be appreciated.
Reason for selling:
I have established this business since September 2003. At first, I used this as a hobby but then I see there is a huge opportunity for this business, and I put some time to optimize and increase the ranking and revenues. I got offered for a full time job back in June 2006 in IT industry, and I am working pretty much 10 hours a day or sometimes more. The money and the opportunity is much bigger than this business.
Put it in a simple way, I don’t have time to manage this business.
Time for maintenance:
It is entirely up to you how you want to manage this business. I spend 1 hour a day, but I spend most of my time on weekends usually. I usually update websites, browse through the internet and post my opinion and at the same time put my website in there.
Advertising:
I use google adWords for my advertising. I spend less than 100 dollar a month, sometimes more. Most of the traffic I generate comes from the organic listing on Google, Yahoo, and MSN.
Our site is listed on Dmoz.Org and we are at PR 5 in Google.
The traffic we generate are real people. In other words we have inquiries from people about our products.
Expenses
• Google AdWords
• Toll Free Number
• WebHosting – Yearly
Method of transaction
2Checkout.Com
We have use 2Checkout.com for about 1 year now, and we are very satisfied with the merchant. They offer financing program which we don’t have to worry about (third party financing bank). They wire your payment every week, and it’s great for some of you who is not in United States.
We used to use PayPal.
We have lost thousands of dollar with PayPal. I will tell you the details if you want. Since then, we have cancelled PayPal and used 2CheckOut.com
Market
Mostly United States
We have some inquiries from International Market. Recently, we receive an inquiries coming from Turkey (planning to purchase 1000 topper). You can make a big profit out of this.
Important Notes about this business
Large or bulk orders doesn’t come within 1 day. Usually they will inquire and then buy a test (if they want), then they will buy in couple months.
So far we have a bulk order coming from a ranch in California, USA .
They purchase a test product in December 2005, and in April 2006 contacted us and wants to purchase 40 items, and then later on in July contacted us back and purchased 10 more items. We receive many inquiries for bulk orders…
This is an example of the bulk order and repeat business. I will let you know the name of the ranch for the new owner.
We have International Order coming from Turkey. Our mattress is used by one of the best hotel in the world. Our mattress is used by the first class hotel suite room in this hotel (cost about 20,000 USD dollar to stay in this hotel). Last time I followed up with them, they are very satisfied with this air bed mattress and considering us in future.
In conclusion, this business is a perfect business. You can expand the business and earn large profits from the bulk orders.
[tags]drop ship, dropship, seo, internet marketing, affiliate marketing, make money online, home based job, earn your living online[/tags]
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