Thomsett Capital: E-commerce Acquisition
Seeking £3.5m to acquire and scale de-risked e-commerce businesses in health and lifestyle sectors via SPV. These businesses are often missed by private equity (too small) and HNW individuals (too big).
Opportunity to acquire, improve, and benefit from compounded valuation levers on exit.
JT
by Joe Thomsett
Target Acquisition Characteristics
1
Profitable E-commerce
Smaller businesses with <£1.5m EBITDA and >=25% margins. Resilient or growing sectors - health, lifestyle
2
Product-Market Fit
Reliance on single or few sales channels.
3
Founder-Led
Small operating team, no current B2B expansion.
Value Creation Opportunity
Favourable Terms
Acquire with deal structures that reduce cash outlays.
Operational Improvements
Benefit from revenue and EBITDA uplifts.
Larger Exit Multiples
Improved business model at a bigger scale.
Current Example: Children's Travel Bed
Revenue
Circa £2.05m.
EBITDA
£0.69m (33%).
Customer Base
70% of sales to US customers.
Our Approach: Fix and Grow
1
Identify
Find acquisition opportunities.
2
Close
Secure on favorable terms.
3
Fix & Grow
Improve and expand using resources.
Team Expertise
Deal Making
Joe Thomsett: Start-up exit, MD turnaround, advisory experience.
Financial Acumen
David Carolan: Ex-CFO, acquisition advisor, financial due diligence.
Operating Network
Rapid deployment of specialists post-acquisition.
The Ask: Investment Details
£3.5M
Investment
£8.75M
Post-Money
£3M
Acquisitions
£0.5M
Growth
£0.5m for growth capital and deal fees.
Projected Returns
Targeting 8.6x return on investment through revenue growth and margin improvement.
