Menu

Deal Opportunities.co.uk

the UK marketplace for company sales

Online Education Business Net Profit £230K (40%)

Reference
S11475
Turnover
Less than £0.5m
Sector(s)
Education
Region(s)
London
Added
22 March 2024

Business description

Asking Price: Open To Offers.

Profit (2023): £230K.

Reason For Selling: Owner Is Looking To Raise Capital To Purchase His First Home.

We are an online retailer of books, courses and training programs to help students maximise their GCSE grades in minimum time.

The UK’s market for supplementary learning resources for school subjects, particularly mathematics, has experienced significant growth over recent years.

Factors such as a lack of individualised attention, limited school resources, and varying teaching methodologies have contributed to this growth. Not to mention the rise in parents home educating their children.

Our business performance has reflected this in the last 2 years, whereby sales revenue has increased by 36% and net profit by 26%.

Students are turning to third-party books and resources as an alternative way to achieve good grades.

Our success is due to various factors aside from the quality material we provide.One of which is the large volume of positive feedback and customer results. These are from children, parents and teachers in the UK.

Teacher testimonials have had the most impact in terms of generating sales but are difficult to obtain, giving our products a significant edge over other educational suppliers.

Furthermore, a memory product that we offer is unique, not taught in the regular school curriculum, and has no competition from other companies or publishers.

We have also built a significant catalogue of free content on social media platforms like Facebook and Youtube which help drive sales.

Having little competition, low inventory and working capital requirements, and an excellent reputation has allowed our business to thrive.

We offer five products with an average order value of £45 and a healthy upsell rate of 20%.We sell our products on our own website as well as on Amazon, achieving high profit margins of circa 40%.


Although demand is strong throughout the year, sales peak between September and March.

Our digital marketing strategy focuses primarily on paid social media campaigns. Facebook, Google, YouTube, TikTok, Twitter, Pinterest, and Snapchat ads generate buyers on the front-end.

We achieve a minimum of 250% return on ad spend on a daily-basis, which runs closer to 300% or more during peak months.

The acquisition opportunity presented here would appeal to someone looking for a lifestyle business or merging with a similar online/offline business.

One growth opportunity is to expand market share in the UK by forming partnerships with schools and government bodies, and providing wholesale opportunities.

Another prospect lies in offering tutoring services to our existing customers, to add a recurring revenue stream to the operation.

We have a weekly email newsletter (priced at £7 - £10 a month) which was recently automated so it can be delivered on a much wider scale.

Expanding to America (and other European countries) is a viable option. We recently worked with a fulfilment service in the US and sold several thousand books, providing proof of concept in the region.

This business would suit someone who has some prior experience or knowledge of running an e-commerce business that involves online paid social media campaigns to ensure a smooth takeover.

As part of the transition, the founder is willing to provide support to the new owner for up to 6 months after the sale.

Please get in touch for an NDA after which we can provide a copy of the Business Information Memorandum.

Financials

Turnover (£'000) Adjusted EBITDA (£'000)
2023 (Actual) 475 232

Contacting the person who posted this opportunity

All opportunities on this website have been posted by advisers, or occasionally by company owners. Deal Opportunities Limited is not acting on any of these opportunities.

All the information available to us for this opportunity is shown above. We do not have any additional information.

Please contact the person responsible for this opportunity in order to request further information, or to express an interest in it.

You are not currently logged in to the site. If you are a regular user, please log in before requesting contact details.

Register Log in now Get their contact details without logging in

Log in

Forgot your password? | Don't have an account? Register here

Please submit your contact details

Once submitted, an automated email will be sent to you giving you the full contact details of the person responsible for this opportunity. This is entirely free of charge.

Your contact details:

Businesses for sale