A New Hybrid Model For Financing Your Amazon Business
In this episode of the Seller Sessions Podcast, Danny McMillan and returning guest Fe Soutter dive into a discussion on a groundbreaking hybrid model tailored for Amazon sellers aiming for exponential growth.
Fe Soutter, seasoned Amazon seller, opens up about her own experiences grappling with cash flow constraints and the intricate complexities of managing her brand. At a critical juncture, she confronted the tough choice between sourcing funds for expansion or selling her business altogether. Traditional avenues like a standard business sale or going through an aggregator came with the heavy baggage of tax implications, prompting Fe to explore uncharted territory.
Enter the hybrid model – a game-changing approach that would see Fe not only retain her role as the managing director but also actively collaborate with a partner company. The crux of this innovative pact involved granting a calculated percentage of her company to this strategic partner on only the new revenue and profits generated.
Fe walks us through the intricacies of this model, highlighting how this strategic affiliation allowed her to tap into unparalleled expertise and structural reinforcement.
Central to this hybrid model's success is the relentless pursuit of scalability and methodical systematisation. While relinquishing partial ownership, Fe seized the opportunity to channel her energy into the facets she's most passionate about – nurturing creativity, fostering vision, and fortifying the brand's presence in the market.
Fe dishes out advice drawn from her profound journey, emphasising the immeasurable value of learning from skilled team members. As the episode unfolds, we glean insights into the roadmap ahead. Fe's target? Steering this model towards a strategic exit in the coming years, with aspirations to hit the eight-figure mark before the final curtain call.