Amazon FBA Due Diligence

Receive a 21-point analysis on an Amazon FBA business acquisition. Our goal is to minimize risks so you get the best deal. View a sample report.

3 Experts PDF Report 7-Day Turnaround

Our Due Diligence Service Eliminates Risks

Our team has performed due diligence on over 1,000 businesses since 2008. We’ve scaled several FBA businesses to over 7 figures.

We know how to perform due diligence. We find the pros and cons of each acquisition to save you from making a mistake.

What’s Covered?

We perform a rigorous 21-point analysis of your Amazon FBA acquisition. We deliver a written report outlining our findings with metrics to showcase the pros and cons of the asset.

Our analysis digs deep into these categories.

Market Overview

Most Amazon FBA brands are based around a specific niche. We’ve analyzed FBA businesses for sale in multiple different categories and understand the ins and outs when it comes to dealing with individual categories and market nuances. We look at:

Overall market size and trends

Product placement in the market

Potential market opportunities

Product Overview

Strong unit economics and a moat against competition help build durable long-lasting FBA businesses. To evaluate this, we analyze the unit economics of each product and consider its potential longevity in the marketplace. We look at:

Unit margins

Defensibility against competition

Review structure

Listing Overview

On Amazon, the product page listings are the cornerstone of the business and the first experience customers have of your company. After selling successfully on Amazon for 4+ years, we understand how to build a converting listing. We analyze and put into context:

Key metrics

Listing SEO and images

Opportunities to improve the listing

Amazon Ad Strategy

More than ⅔ of Amazon FBA sellers use the Amazon advertising platform to drive traffic to their listings. After consulting on Amazon Ad strategy for multiple 7-figure FBA brands, we understand how to optimize the paid traffic strategy in order to improve the business. We analyze:

PPC spend by product

Usage of different ad types

Opportunities to expand or reduce spending

Supply Chain and Logistics

As a physical products business, an Amazon FBA business can succeed or fail by the strength of it’s supply chain. We go through each aspect of the supply chain to understand the current strengths, weaknesses, and opportunities that exist to optimize. We look at:

Supplier terms and lead times

Supplier risks and opportunities

Amazon inventory management

Valuation

Valuation of Amazon FBA businesses is based on a multiple of Seller’s Discretionary Earnings (SDE). Determining the valuation multiple is a critical factor that depends on the niche, market trends, trends, Amazon metrics, and more. We look for:

Evaluate asking price and multiple against market trends

Expert suggestions on what business is actually worth

Assistance with negotiating with seller or broker, if needed

P&L Verification

The valuation of the business is based on a multiple of past earnings. Our team has deep expertise in catching red flags in a P&L that do not match the actual earnings. We look for:

Verifying claimed revenues via screenshots or video

Verifying the seller’s P&L numbers against revenue screenshots

Verifying revenues against industry-standard averages

The Due Diligence Team

David Holmes, Amazon FBA Advisor

David has acquired, grown, and successfully exited 2 Amazon-based businesses. He now consults for multiple 7-figure Amazon FBA brands.

David acquired a declining Amazon FBA business in January 2020. By revitalizing the listing, the Amazon ad strategy, and the supply chain, he grew revenue 500% in the next 12 months while reducing the cost of goods sold. He ultimately sold that brand in September 2022 to a private buyer.

David has deep expertise in Amazon FBA’s ecosystem.

David Holmes

Elliott Davidson, Ecommerce Advisor

Elliott is an award-winning eCommerce consultant and entrepreneur. He is the owner and operator of several 7-figure online stores and the founder of his own eCommerce digital marketing agency, Contrast.

With over 8 years of experience in digital marketing both in-house and agency-side, he’s helped deliver successful website migrations and implement scalable PPC sales funnels for local and global eCommerce businesses, all the way to generating multi-millions in organic revenue.

One of his main growth strategies is to leverage M&A. Over the last several years he has used this method and bought several businesses from IP, stock, and LTD purchases. 

Elliot Davidson

Mushfiq Sarker, Lead Analyst

Mushfiq is the Lead Analyst overseeing due diligence reviews. He has been buying, growing, and selling online websites since 2008. He has sold over 200+ websites with multiple six-figure exits.

He has performed due diligence on well-over 1,000 content websites to date. He has kept up-to-date with the current industry as an operator running his own media company.

Mushfiqur Sarker main

Common Questions

Is this service only for beginners in business investing?

First-time investors will find the most value from our service. However, seasoned investors who have purchased online businesses before can use us for a second expert opinion. We can catch red flags or point out opportunities you may have missed.

Who is this due diligence service for?

This service is perfect for anyone looking to purchase an Amazon FBA business. Once you’ve found the business through a broker or private seller, you can utilize our service to have an expert opinion on whether the business passes due diligence.

Do I need to have a Letter-Of-Intent (LOI) on an acquisition?

No, you do need to have made an offer or have an LOI on a content site acquisition. We can perform due diligence before you make an offer.

What is the turnaround on the due diligence?

After we’ve received access to what we need to perform the due diligence, the turnaround time is within 7 business days. If the turnaround time is longer, we will communicate that with you.

Can I get a faster turnaround on the report?

Yes. On a case-by-case basis, we can expedite an order to be delivered in 3-4 business days. There is an additional fee for quicker turnaround.

What’s required to perform due diligence?

We require the following to perform due diligence:

  • Amazon product listings
  • Access to Amazon Seller Central modules with guest permissions
  • P&L spreadsheet

We will work with you, the seller and/or the broker to obtain the data we need to perform the review.

How is the report delivered?

A link to download your written report (PDF) will be sent to the email address used to purchase.

Pricing & Next Steps

Most Popular

Due Diligence Report: $2,900

Our advisors will perform a 21-point analysis of your potential Amazon FBA acquisition. You will receive an in-depth PDF report. View a sample report.

We deliver the results within 7 business days.

Most Popular

Easy Wins Teardown: $1,190

We pinpoint growth opportunities leading to increased revenues. Doing this prior to closing provides confidence.

The deliverable is an additional PDF report. No additional turnaround time is needed.

Fill out the contact form with basic details of the business you would like to acquire. We will follow up in less than 24 hours if we can perform the due diligence review.