In this episode of the Ecommerce Marketing Podcast, Robert interviews Jock Purtle, CEO of DigitalExits.com, a full-service website brokerage that helps online business owners find buyers when they want to exit their company. Jock shares valuable insights on what makes a great business, what attracts buyers, and how business owners can grow their eCommerce businesses to achieve a million-dollar valuation.

Key Takeaways

• Introduction to Jock Purtle and DigitalExits.com (00:01:00)
  • DigitalExits.com helps online business owners sell their businesses.
  • On track to facilitate over 25 deals in 2015, with 50% being eCommerce businesses.
• What Makes a Great Business? (00:02:00)
  • Strong key drivers like unique selling points or external forces (e.g., brand strength, government regulations).
  • Repeatability and reliability of sales.
• Attracting Buyers: Key Factors (00:04:00)
  • Return on investment (ROI) is the primary reason buyers purchase businesses.
  • Buyers look for businesses that are growing, have low risk, and are easily transferable and verifiable.
• Steps to Grow a Million-Dollar eCommerce Business (00:06:30)
  • Achieve at least $300,000 in net profit.
  • Ensure the business is growing and in a sustainable market.
  • Have at least 2-3 years of business history.
  • Implement strong systems, processes, and staff.
• Increasing Net Profit (00:10:00)
  • Focus on higher margin products.
  • Negotiate lower costs with suppliers.
  • Reduce fixed costs and optimize advertising spend.
  • Increase overall sales by acquiring more customers.
• Importance of Processes and Systems (00:12:30)
  • Hire good staff and delegate tasks.
  • Implement repeatable processes that are easy to transfer to new owners.
• Role of Marketing and Brand Building (00:14:30)
  • Develop a good product and a strong reputation for customer service.
  • Diversify revenue sources to reduce risk and increase valuation.
• Three Main Factors to Achieve a Million-Dollar Valuation (00:17:00)
  • Find a growing niche.
  • Develop a great product.
  • Allow time for the business to mature.
• Additional Resources for eCommerce Businesses (00:18:30)
  • Forums like E-commerceFuel.com.
  • Resources from experts like Ezra Firestone.

Guest Info

Jock Purtle

• Website: DigitalExits.com
• Podcast: DigitalExits.com/Podcast
• Guides Available:
  • The Ultimate Website Selling Guide
  • The Ultimate Website Buying Guide
  • The Ultimate Website Valuation Guide

Jock Purtle offers insights and resources on buying and selling online businesses. Visit DigitalExits.com for podcasts, blog articles, and downloadable guides to help you navigate the process of exiting your business.