The finsse seller? Or on to something bigger?
Enterprise Seller
Looking to take your business to the next level? Possibly looking towards a business exit? This page will take you through the options you have on the table once you’ve reached the enterprise status as an eCommerce seller

What are your next steps?
So you’ve reached the Enterprise level of online selling, congratulations! The question now is where do you go next? Are you goals still similar to when you set out or have they changed? As your business reaches new heights, it’s essential to consider strategic moves that match with goals and objectives that you want for you and your business. It important now that you look solutions that match with the outcomes you’re striving for ensuring you can further propel your growth and secure your long-term success. Here are key considerations for advancing your larger ecommerce business:
1. Funding Solutions
Prepare your business for sustainable growth by exploring funding options:
- Preparing for Funding: Ensure your business is in a strong financial position by maintaining accurate financial records, demonstrating consistent growth, and articulating a clear vision for future expansion. Ensure your business plan is up to date and strong, this is key to display your vision to potential investors. Management teams are important, showing you have a clear structure and succession shows you have thought about the future and will enable your business to run smoothly and efficiently.
- Right Time to Seek Funding: Assess your business’s growth trajectory, market opportunities, and capital needs to determine the optimal timing for seeking funding. Whether you’re looking to scale operations, expand into new markets, or invest in innovation, securing funding at the right time can fuel your growth ambitions. Depending on your goals and the amount of capital needed, this could include taking out a loan, launching an equity crowdfunding campaign, or seeking venture capital investments. Deciding which type of funding is best for your startup can be tricky and its important to do your research before committing to any single option. At the end of the day, the right time to seek funding for your startup really depends on your individual business situation. If you have a great idea and the resources necessary to get started, its never too early to start looking for potential investors or lenders who are willing to help bring your vision to life. However, if you don’t have the means to self-fund, its important not to rush into making any commitments until you have thoroughly evaluated all of your options and found a source of financing that will work for your specific needs.
2. Business Exits
Plan for the future by considering potential exits and succession strategies:
Preparing for Exit:
Conduct thorough due diligence to assess your business’s strengths, weaknesses, and market positioning. Identify areas for improvement and implement strategies to maximise value and appeal to potential buyers or investors.
Valuing Your Business:
Determine the fair market value of your business by considering factors such as revenue, profitability, growth potential, intellectual property, and market comparables. Seek professional valuation expertise to ensure accuracy and fairness in determining your business’s worth. EBITDA is a popular method to calculate your business worth. It stands for earnings before interest, taxes, depreciation, and amortisation.
You can calculate EBITDA in two ways:
By adding depreciation and amortisation expenses to operating profit (EBIT)
By adding interest, tax, depreciation and amortisation expenses back on top of net profit
To use EBITDA, you need to understand what each part of this formula means.
How to calculate EBITDA
EBITDA = E+B+I+T+D+A

Earnings
- Normally, this is your net profit as you report it to the tax authorities.
- Net profit is the total revenue you’ve generated from sales, minus the total amount you deduct as a legitimate business cost.

Before
- The ‘B’ stands for ‘before’.
- The items below, when added to your net profit calculation, should change the amount of your net profit and your assets in your favour.



Interest
- The interest you’re charged when repaying your debt is added back to your earnings.
- Other types of interest should not be included, such as interest on accounts receivable.


Taxes
- EBITDA adds back taxes, which can vary from one period to the next and are affected by numerous conditions that may not relate directly to your business’ operating results.



Depreciation
- When you use tangible (physical) assets – such as machinery or vehicles – over time, they fall in value.
- EBITDA adds back this loss in value.



Amortisation
- This relates to the eventual expiring of intangible (non-physical) assets, such as patents or copyright.
- In EBITDA, amortisation is added back.
Earnings
Normally, this is your net profit as you report it to the tax authorities.
Net profit is the total revenue you’ve generated from sales, minus the total amount you deduct as a legitimate business cost.
Before
The ‘B’ stands for ‘before’.
The items below, when added to your net profit calculation, should change the amount of your net profit and your assets in your favour.
Interest
The interest you’re charged when repaying your debt is added back to your earnings.
Taxes
EBITDA adds back taxes, which can vary from one period to the next and are affected by numerous conditions that may not relate directly to your business’ operating results.
Depreciation
When you use tangible (physical) assets – such as machinery or vehicles – over time, they fall in value.
EBITDA adds back this loss in value.
Amortisation
This relates to the eventual expiring of intangible (non-physical) assets, such as patents or copyright.
In EBITDA, amortisation is added back.
- Mergers and Acquisitions
Explore opportunities for strategic partnerships through mergers or acquisitions:
Choosing Between Merger and Acquisition: Assess your business objectives, market dynamics, and strategic priorities to determine whether a merger or acquisition aligns best with your growth strategy. Evaluate the potential synergies, risks, and implications of each option for your business’s long-term success.
Impact on Your Business: Consider how a merger or acquisition could impact your business operations, culture, and competitive positioning. Evaluate potential partners or targets based on their strategic fit, financial stability, and growth potential to ensure a successful integration process.
As you navigate the next steps for your larger ecommerce business, thoughtful planning and strategic decision-making will be key to unlocking new opportunities and driving continued success. By exploring funding solutions, preparing for potential exits, and considering strategic partnerships, you can position your business for sustained growth and prosperity in the dynamic ecommerce landscape.