💸 7 Figures = Not Enough 😢

💸 7 Figures = Not Enough 😢

August 16, 2024

Hi ,

For people who become Amazon sellers, the goal is usually to get to 7 figures, and then you “made it” and have secured your financial freedom. The truth is, 7 figures is usually not enough.

Here’s a conservative breakdown of a $1M a year business on Amazon in 2024:

$1,000,000 Revenue

$150,000 PPC (15% TACOS)

$50,000 Refunds (5%)

$400,000 Amazon Fees

$200,000 Cost Of Goods

$200,000 Gross Profit (20% Margin)

Again, these numbers are conservative and what is common across many of the brands I’ve helped over the years.

What’s the issue?

Well, a $200K profit might seem reasonable on paper, but in reality, it is much less.

Why is that?

Well, there are many other things you’re investing in:

New product development - Let’s say $50K a year (including samples, photography, graphics, etc)

Inventory for stock being in production, shipped, or overstocked - Let’s say another $50K a year

You spend some money on software and events.

And maybe you’re spending on a few team members as well. If not, it’s even worse as you do everything yourself.

Looking at this optimistically, if you’re doing everything on your own with no team, you earn less than $100K a year (before taxes, ouch).

If you’re happy with that, great! But I believe that’s not why you’ve started this journey.

Is this the financial freedom you were hoping for?

Why am I telling you this?

Because there’s a better way.

I believe that 7-figures shouldn’t be the goal; it should be a milestone. There should only be two goals:

  1. Sell the business

  2. Scale to 8 figures

And in both of those cases, you should automate the business as much as possible.

If you can reach 8 figures or sell the business, that’s the life-changing money you’re after and the reason you started this business in the first place.

In September, I’m looking to work with 5 more sellers.

To work with me, you need to be:

  1. Already at 7-figures revenue a year.

  2. Are hungry and ready to take massive action.

  3. Are building a real business and not interested in black hat tactics.

  4. Are looking to either scale to 8 figures, sell the business, or both.

If that’s you and you want to hear more, reply to this email with: TELL ME MORE!

Tomer

P.S

You didn’t come this far just to come this far. - Matthew Reilly