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$225,000 USD

Lava Lunch

www.lavalunch.com

Appears in Fashion and apparel , Established stores, Inventory, Oberlo stores for sale, Dropshipping, Lifestyle, Home Business for sale, United States, New Jersey

General description

Lava Lunch is an easy and practical solution that combines timeless design with function not available in any other lunch bag - Warmth. Lava Lunch keeps your food warm up to five hours and allows you to pack foods you never thought possible - grilled chicken with sauteed vegetables, stir fry vegetables and noodles, leftovers from last nights' lasagna, gooey grilled cheese sandwiches, and even hamburgers or burritos - all kept warm. It does so through a combination of our premium real neoprene, our proprietary super-insulation, and additional heat provided by our Lava Rocks. Our goal is to change the way people everywhere think about lunch.

I started Lava Lunch out of personal need. When my son was small he stopped growing. After medical evaluation and testing, we found out that his problems were the result of food allergies and intolerance, and quickly changed the diet for the whole family.

The result? Within one week his hyperactivity abated. Within six months he grew several inches. He is now an incredibly smart, funny, healthy boy.

While the benefits of a more natural, healthier diet were very visible and obvious, a method for maintaining it wasn't. This new diet presented quite a challenge. Eating out? Forget about it. Almost every store or restaurant bought meal contains some allergen or other no-no food. Parties and treats provided by schools or daycare? Nope. These are usually made with gluten, dairy, and other allergens. Not to mention packed with preservatives, chemicals and dyes. School lunches? Not a chance. Highly processed mystery meat was definitely out. In the end she cooked all natural, whole foods at home, packing them in some sort of container and carrying it with them everywhere they went. But how to keep warm and tasty?

And so, Lava Lunch was born.

Since then Lava Lunch has grown! It now includes the online Shopify store, retail partnerships with Bed Bath & Beyond, and Target Stores- including the edi connections to manage those sales, a national distributor, overseas sales, a filed patent application, two trademarks, and an in-tact supply chain necessary for making and importing the Lava Lunch totes and Lava Rocks, as well as, managing the raw ingredients and proprietary formulation, over 6000 social media followers, an already built and tested custom social media audiences of several million, and a very responsive mailing list of over 13,000! Talk about a turn-key opportunity!

Lava Lunch currently does a large share of its business during the back to school season. During this time Facebook campaigns run at approximately 4:1 in a fully automated model.

Financials and traffic

The below figures are averages. The online sales for Lava Lunch are largely seasonal. Last year we did 70% of our yearly sales in 8 weeks during back to school. The retail brick & mortar portion of our business is a more year-round business. The total for both online & retail sales was $225,000 in 2017. Margins can be increased with greater volume to lower cost of goods, as well as, with lower customer acquisition strategies.

Both sides of the business can be grown in the right hands. Online opportunities exist in offering additional styles, sizes and configurations. Additionally, offering complimentary items such as water bottles & food containers can be added to the assortment as either in-stock or drop-shipped products. The right owner can also increase the retail side of the business by expanding the product assortment, and partnering with additional big box retailers. A third, yet undeveloped, side of the business exists in commercial applications of hot food in food and restaurant delivery, hotel and hospital room-service, and catering.

Average profit/month

$4,687 USD

Average overall profit margin

25%

Average number of sales/month

800

Value of inventory

$6,000 USD

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Business Expenses

I run the advertising as a direct marketing campaign. For this reason, the costs vary greatly month to month. While profitable, I increase advertising. During the off-season, I reduce or stop advertising. The bulk of the advertising cost is incurred during the back to school season.

Expense item

Cost

Shopify plan

$29.00/month

Subscriptions (ie. Mailchimp, apps)

$7.00/month

Advertising (ie. Adwords, Facebook ads, etc.)

$4,000.00/month

Inventory warehouse

$350.00/month

Domain

$5.00/month

Inventory

Our warehouse fees vary based on the volume of inventory and the volume of sales. We work with a top tier 3PL company with warehouses on both east and west coasts, and a deep understanding of the retail landscape.

Located in Masungie, PA

Willing to ship inventory

Willing to transfer relationships with suppliers

What’s included in the sale

  • Physical inventory
  • Logo and branding assets
  • Social media accounts
  • Personal support after sale
  • Domain
  • Product photos

Social Media

Facebook

lavalunch

Pinterest

lavalunch

Twitter

lavalunch

Newsletter list

13,000 subscribers

Social media followers

6,000 people

Q & A

Why should someone buy this store?

Own the market. This is the ONLY product in this market that offers this performance. It is patent-pending and trademarked. No one wants competition. Now you can be the sole provider.

This is a very in-demand and much loved item as evidenced by the reviews received on Facebook, and retail re-orders. Sales at Target are currently 3X higher than they projected and I can hardly keep up. While still small, this business can easily 2X each year with the inclusion of additional styles, and complimentary items.

How can the future owner improve the business?

Sales can be increased with a larger assortment, the ability to stock greater volume of goods, and a sales staff dedicated to developing online and offline the retail channels.

Online sales can be grown with a broader assortment, including complimentary items, and additional styles and sizes. Additionally, the ability to navigate online advertising more keenly, and to keep deeper stock positions would easily 2x sales.

Brick and mortar sales can easily 4x with the right sales person and supporting marketing effort. By reaching all stores in Target, you would hit this goal; as you would by adding only a couple of additional retail partners or distributors.

What work have you put into the store?

Most of my work has been put into the product. The store was built using a Shopify template. It integrates directly with Amazon, Quickbooks, and our warehouse. Online orders flow directly to our warehouse where they ship within 24 hours. Retail orders flow through our EDI system which is also integrated with our warehouse and also ships within 24 hours. The product is patent-pending and trademarked.

How many hours does it take to run this business per week?

10 hours

$225,000 USD

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