259 Growing an Amazon business for sale with Matt Ward
Do you want to build an Amazon business that sells for more than seven figures just one year from the date of launch? Of course, you do! Well then listen up. On today’s episode of the show, I’ve brought in Matt Ward. He’s an expert on scaling fast, and he’s also the co-creator of the highly respected Amazon Podcast FBA ALLSTARS and the cryptocurrency capital solution corl.io.
We’ll be talking about CORL on the next episode of Amazing FBA.; on this one, we’re going to be focusing on Matt’s journey toward building a seven-figure Amazon business.
Matt began life as a working professional in the engineering industry and quickly came to the conclusion that working for someone else wasn’t for him. He started his career as an entrepreneur in the crowdfunding sector, and even built the top crowdfunding podcast Art of the Kickstart, only to realize businesses needing his services had no capital with which to pay him.
Matt had connections in the Amazon sector, so he moved to China while working on building a laptop case that opened up into a standing desk, one thing led to another, and the rest is history. During that time he started The FBA ALLSTARS Podcast and continued to grow his Amazon company into what would rapidly develop into the business he sold for more than $1 million just one year.
On today’s show Matt and I will be talking about:
How a background in engineering helped Matt to become a successful seller on Amazon (5:20).
“Engineers are people who want to build stuff and then realize when they go to work for someone, they’re not actually building much. They’re typically relatively smart and driven.”
Matt’s background in crowdfunding and how it contributed to his success in the Amazon sector (6:36).
What pushed Matt to focus his energies on Amazon (8:30).
“I’ve always been of the opinion when you want to do something, find the smartest people that are doing it and learn as much as possible from them.”
The next stage in Matt’s journey as a digital nomad (10:40).
Finding a Chinese sourcing agent (13:43).
The timeline of Matt’s business growth (15:43).
“I set a goal on the podcast [and] called it Step One to Seven Figures. It was our tagline. It was a joke. Within a year I wanted to sell the business for seven figures. I ended up hitting that.”
The strategies for sourcing that led to Matt’s Amazon success (16:55).
Sourcing and selling similar products on Amazon: A losing battle (18:45).
Building a brand to seven figures in 12 months (20:12).
Arbitrage is dead; the alternative that’s still applicable today (21:02).
“You have to steal Amazon’s customers; they’re not your customers.”
How Matt built his business from nothing to seven figures in just one year (25:20).
The plan (27:08).
The process of selling a business. Earnout vs. Buyout (28:10).
“I want you to give me straight cash. You want to pay me nothing until you’ve made the money back. An earnout is a split between that.”
Three rules for selling an Amazon business (33:38).
The fantasy of passive income in business (34:37).
There are no rules when it comes to building wealth (25:50).
Building a business by setting clear goals (38:04).
“You need to know what you’re shooting towards because otherwise, you’re like a horse with blinders. [You’re] running, but you’re not actually sure where you’re headed, and you might not like it when you get there.
Closing thoughts with me, Michael Veazey (41:50).