Amazon Aggregator Troubles Continue

May It Please The Internet by John Di Giacomo & Eric Misterovich

Episode notes
This episode discusses the troubles faced by Amazon aggregators, which are companies that buy and manage multiple Amazon businesses. These aggregators experienced a boom in 2020, with high multiples and easy access to funding. However, various factors, such as supply chain issues, rising shipping costs, and operational challenges, have led to their difficulties. Many aggregators used deferred payment structures in their deals, making it hard for sellers to get paid when issues arose. Private equity firms provided financing to these aggregators, but as the market changed and interest rates increased, the money dried up, leading to defaults and restructuring. Some aggregators still operate, but they are more focused and cautious in their approach. The podcast advises sellers to seek legal counsel and maintain communication with aggregators if they fac ...   ...  Read more
Keywords
business lawintellectual propertybusiness saleecommercebusiness acquisitiondigital assetsamazonattorneycorporate