Seller Sessions · with Michal Baumwald Oron, Ben Leonard, Chris Shipferling · January 18, 2023 · 43 min
Summary
This episode offers a comprehensive look into the evolving Amazon M&A landscape in 2023 from the perspective of experienced brokers. It highlights the shift from a "golden run" to a market correction and now a recovery, providing crucial insights into valuation multiples, buyer types (aggregators vs. private), and effective exit strategies for Amazon sellers. Operators will learn how to navigate current market conditions, optimize their business for sale, and understand the factors influencing deal flow and capital raising.
Key takeaways
The Amazon M&A market experienced a significant slowdown in 2022 due to reduced aggregator funding and lower multiples, but is showing signs of recovery in 2023 with increased deal activity.
Sellers should focus on growth and profitability to enhance their business valuation, as multiples have shifted, making strong financials critical for an attractive exit.
Understanding the differences between aggregator buyers and private/strategic buyers is crucial for sellers, as their motivations, valuation methods, and deal structures can vary significantly.
Engaging with experienced brokers or investment bankers provides access to a broader range of buyers and expert guidance on navigating complex M&A processes, particularly in a fluctuating market.
The current market emphasizes robust due diligence and a clear understanding of economic conditions and capital availability when planning an Amazon business exit.
Amazon Exits in 2023 - Roundtable (The Brokers) Today I am joined by Michal Baumwald Oron, Ben Leonard and Chris Shipferling. We had a golden run from late 2019 until the beginning of 2022 (exits) when deals across the industry dried up almost overnight. Then in March (2022) we started to see the public layoffs across the aggregators and less money being raised across the board. As the multiples came down, sellers started to focus their energy on growth and now we are starting to see signs of an uptick of deals getting done again. Today we discuss some of these trends with brokers that get to see everything across the board, not just deals done with aggregators but also private buyers in the market. Michal Baumwald Oron, CEO, and co-founder of Fortunet, a leading investment banking firm specialising in e-commerce. With 25+ years of experience as an executive manager, investment banker, and commercial lawyer in senior positions at international leading brands, Michal has led major public offerings, including initial public offerings (IPOs) and follow-on offerings, as well as M&A global transactions and joint ventures. Ben Leonard is the classic millennial entrepreneur. He built a business on a laptop, in a cupboard, in his spare time. The difference? Ben grew an international 7-figure business and successfull
What does this episode say about amazon & marketplaces?
The Amazon M&A market experienced a significant slowdown in 2022 due to reduced aggregator funding and lower multiples, but is showing signs of recovery in 2023 with increased deal activity.
What does this episode say about finance & fundraising?
Sellers should focus on growth and profitability to enhance their business valuation, as multiples have shifted, making strong financials critical for an attractive exit.
What does this episode say about founder & leadership?
Understanding the differences between aggregator buyers and private/strategic buyers is crucial for sellers, as their motivations, valuation methods, and deal structures can vary significantly.
What does this episode say about amazon & marketplaces?
Engaging with experienced brokers or investment bankers provides access to a broader range of buyers and expert guidance on navigating complex M&A processes, particularly in a fluctuating market.
What does this episode say about amazon & marketplaces?
The current market emphasizes robust due diligence and a clear understanding of economic conditions and capital availability when planning an Amazon business exit.
