Deal Teaser – Scale-up series A: Amazon Infrastructure related investment opportunity – Netherlands

Business Description

Business
The company is active in providing Amazon infrastructure for Amazon sellers that seek to grow revenues in Europe. The business operates two divisions. On the one hand, the company aims at enhancing the position of US Amazon sellers in Europe by providing them with full Amazon infrastructure in Europe. On the other hand, the company acts as full service distributor to brands that want to increase their sales, or even start selling, on Amazon Europe. Complementary to these services, the company offers Amazon marketing services to its clients. In providing such services, the company encounters only a handful of direct competitors.

Fte’s
Currently, the company employs 18 fte’s. The team is truly international with over five nationalities, most of the team members being in their thirties. The team members’ backgrounds (educational and/or work experience) entails, among other, e-commerce, marketing and econometrics. The fact that several European nationalities are represented in the team allows the company to understand the many different submarkets and subtle cultural differences across Europe expeditiously.

Europe
As you might appreciate, the European market is totally different from the US market. Where the US market comprises only one country, one currency and two different VAT rates, the European market is highly fragmented with for example different languages, multiple currencies and 24 different VAT rates. Although the number of buyers on Amazon Europe is significantly higher than the number of buyers on Amazon US, only 2% of the US companies selling on Amazon US is also selling on Amazon Europe due to the complex European market.

Reason for Selling

Investment amount
The company is seeking EUR 4 million in series A growth capital. The fresh money will be used to, among others, enhance the working capital position, expand the staff, invest in IT systems and open a US sales office. This potential investment of EUR 4 million yields a stake of approximately 15% in the company (post-money).

Legal Constraints

Although the activities of the company are mainly conducted from Italy, the company is a limited liability company incorporated under the laws of the Netherlands (Besloten Vennootschap).

Key Financials

year sales ebitda net income nfp
2021 EUR5,400,000.00 EUR200,000.00 EUR0.00 EUR0.00

Additional Information

**Transaction types considered**
Share issuance

**The ideal buyer should provide the business with**
The ideal buyer is also able to provide the current shareholders and management with strategic advice.

Robin van Denderen

Advisor
Schuiteman Corporate Finance