Global leather products and accessories label - Perfect bolt-on - easily...

This business has been established for 10-years, and the owner is finally seeking a well-deserved retirement. The business is a global leather accessories label, fusing classic and simple design. Stylish eco-friendly designs are for the down-to-earth, eco-conscious consumer with a minimalist style.

There are 5 ranges in total that are responsibly made with Eco certified leathers manufactured in India and shipped to their Australian warehouse, then worldwide.

The business has been purposely shifting sales from indirect (wholesale) to direct (D2C) which now make up approximately 60% of overall sales, and has a positive social media presence with newsletters, blogs and travel diaries.

Customers are diverse in gender and age meaning there's not a clear standout target customer - the #1 revenue audience is 25-34 year old females. The business T/O is broadly stable showing a consistent consumer demand with a loyal customer base of repeat customers.

The gross margin is at 49.7% for the last 12 months until June 30th 2023, and the adjusted EBIT shows that there can be a 48% reduction of overhead costs to be absorbed within an existing infrastructure as a bolt-on-acquisition.

Because of the business configuration, a purchaser would have full flexibility to materially enhance the value of the business through any/all of the following:

- developing a new brand
- subsuming manufacturing and operations costs within existing brand
- in-sourcing manufacturing
- expanding into new markets, as a new offering to a complimentary brand

Turnover (FY 23) - $1,192,775 P/A
Net Profit as bolt-on acquisition to existing business - $166,950 P/A

Owner says: The business was founded in 2013 with the belief that leather accessories can be both eco-friendly and fashionable. We wanted to build a brand that made everyone feel and look good, and yet offer eco-friendly and sustainable leather products that benefit both people and the planet. We've been accessorizing for our many loyal customers in their adventures around the world over the past 10 years"

A great opportunity to bolster sales in your existing product distribution business, whilst bolting on this well preserved and well received brand and associated products.

Contact Warren Levy for more information: 0414 474 777 / warren@corebb.com.au