Now:<\/p>\n

In our experience, it’s unlikely that an Amazon aggregator will make you just one offer.<\/p>\n

Simply put.<\/p>\n

If your brand and, more importantly, your financials are strong, you will often have several proposals to consider as part of the LOI.<\/p>\n

For example:<\/p>\n

Most aggregators open negotiations by offering a straightforward cash payment of 70%-75% of the overall deal value upon closing (with 25%-30% paid over a period of time, often one to two years).<\/p>\n

This, of course, is negotiable.<\/p>\n

You may, alternatively, be offered a longer term profit-share style agreement, which could\u00a0prove more lucrative if you are prepared to wait for your money.<\/p>\n

This can be attractive to certain sellers, but only if you trust the aggregator not to screw up the business once you have handed over operations.<\/p>\n

And finally:<\/p>\n

We have also seen deals consisting of a hybrid of both of the above proposals, all of which were summarised in the LOI.<\/p>\n

The bottom line?<\/p>\n