Listing teardown · Ecommerce
Teardown: $18.7K Per Month Amazon FBA Business in the Hobbies Niche (Empire Flippers #95008)
Short answer: a first-pass read of a live public listing, asking $255,847: 2 red, 4 yellow and 3 green flags from the checker's rules. Every figure comes from the public listing page; nothing here has been verified with the seller.
How to read this. Flags are questions to answer, not findings. A red flag means the listing's own figures or text need an explanation before you spend money on diligence; it does not mean anything is wrong. Sellers often have good answers. Listing details can change after the date above.
Snapshot (as listed)
| Asking price | $255,847 |
|---|---|
| Stated multiple | 2.67× annual SDE |
| Average monthly revenue / profit | $18,703 / $7,995 |
| Latest month revenue / profit | $3,958 / -$3,012 |
| Payback (ask ÷ monthly profit) | 32.0 months on the average |
| Reported margin | 43% |
| Age | about 17 months |
| Monetization | Amazon FBA |
| Owner hours (seller-stated) | 10 a week |
| Top traffic channels | n/a |
Red flags
- Recent profit below the period average (-102%). Last-3-month average profit $-148 vs 12-month average $7,995. If the lower level persists, payback at the asking price is longer than the 12-month average suggests.
- To verify: the latest month shows a loss while 12-month profit is positive. TTM profit $95,943.
Yellow flags
- Volatile monthly profit (CV 1.21). Monthly profit ranged $-3,012–$27,027.
- Platforms the listing relies on or mentions: Amazon. Ask how much revenue and traffic depends on each, and whether there has been any past policy or algorithm impact.
- Customer/revenue concentration not disclosed.
- Generic reason for sale. The Seller would like to explore other opportunities.
Green flags
- The listing shows connected data providers: Amazon Seller Central. These reduce, but do not remove, the need to reconcile figures to bank deposits.
- Seller states about 10 hours a week of owner time (to confirm against the task list).
- Post-sale support is offered: The seller is willing to provide up to 60 days of post-sale support via email and scheduled video calls.
Questions to ask the seller
- What drove the last 3 months below the 12-month average, and what do month-to-date numbers show?
- Why was last month break-even or loss-making?
- Explain the low months (refunds, annual-plan timing, one-off costs?).
- What would happen to revenue if Amazon changed its policy/API tomorrow? Any past incidents?
- What share of revenue comes from the top 1 and top 3 customers (or traffic/affiliate partners)?
- Why sell now, and what would you do with the business if it doesn't sell?
- Provide a month-by-month P&L for the last 24 months with every cost line.
- What exactly transfers (domains, code, accounts, trademarks, email lists, contractor relationships)?
- Has the business ever had a platform ban, penalty, chargeback spike or security incident?
What to verify
- Store and payment-processor reports (Shopify/WooCommerce, Stripe, PayPal, marketplaces) reconciled to bank deposits
- Landed cost per SKU, ad spend and refunds month by month, so the margin can be rebuilt
- Inventory on hand, its valuation and whether it is included in the price
- Supplier, 3PL and contractor agreements and whether they are assignable
- Ad-account history (CPA, ROAS) and analytics by channel for the listing's 12 months
- Trademark, domain and marketplace-account transfer requirements
Payback at the asking price: 32.0 months on the stated average profit, 40.0 months if profit is 20% lower, 53.3 months if 40% lower. This is arithmetic on the listing's figures, not a valuation or a bid suggestion.
Seller statements to check against evidence
Quoted from the listing. Each is a reasonable thing for a seller to say and worth confirming with documents.
- “Launched in May 2025, this Amazon FBA business operates within a niche lifestyle category and offers a unique product designed for poolside and water-based gameplay.”
- “The brand benefits from a custom-designed product, professionally optimized Amazon listings, high-quality photography, established manufacturing relationships, and a streamlined fulfillment operation.”
- “Significant effort has already been invested into product development, supplier sourcing, and market positioning, creating a turnkey opportunity for a buyer looking to acquire a well-established Amazon FBA operation.”
- “The brand’s growing marketplace presence, strong visual identity, and favorable customer reception provide a solid foundation for future growth.”
Risks the listing itself discloses: An increase in Amazon ad pricing could make the ads unprofitable. Amazon can suspend or cancel your FBA account due to a breach of its terms of service (ToS).
Sources
- Empire Flippers listing #95008, public listing data read 13 October 2026.
- FirstPass red-flag rules, the 33 published rules used for the flags above.
Related
FirstPass Memo is independent and buyer-paid. Not affiliated with, paid by or endorsed by Empire Flippers or the seller. Informational screening only, not investment, legal, tax or valuation advice, and not an audit. Figures are the seller's and marketplace's, as listed on the date above. If you are the seller or broker and something here is out of date, email hello@firstpassmemo.com and we will correct it.