You want to sell your gift store? Then it's good to know what the acquisition market in the field of gift stores looks like. Gift stores cannot escape the transition from physical to online shopping. To stay ahead of competitors, you as an owner must capitalize on digital trends.
The number of mergers and acquisitions of gift stores shows a relationship with economic growth and recession.
There are many ways to value a business. A common method of expressing the value of a business is "a factor x gross annual profit." This factor is also called multiple and another designation for gross annual profit is EBITDA (Earnings Before Interest Taxes Depreciation and Amortization).
In retail, the sector to which gift stores belong, an indicative EBITDA multiple range of 1.9 to 3.0 is currently used, according to the Brookz Takeover Barometer. The average EBITDA multiple across all SME sectors is 4.90.
The valuation of a business is often the starting point for negotiations between buyer and seller. The outcome of these negotiations is the final sales price. So valuation and price are two different quantities. Besides valuation, the price is also determined by possible scarcity in the market, bargaining power of the parties, the strategic value of the business for the buyer and possible synergy effects for the buyer (cost savings, purchasing advantages).
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Want to buy a business or sell a business in the retail sector? With this Brookz Sector Monitor we want to present buyers and sellers with facts, figures and an outlook that provide insight into the number of transactions, the value development of businesses and the latest trends and developments in the retail sector. Because in any buying or selling process, thorough preparation provides peace of mind, overview and structure.
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In figures, the number of gift stores in 2024 looked as follows(CBS):
With this online training from Brookz you are optimally prepared to largely sell your business yourself: 25 Powerpoint videos, a comprehensive valuation report, legal model contracts, handy templates, checklists and expert support. Plus 50% discount on listing your business on Brookz!
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A number of trends and developments will inevitably cause changes over the next few years, but also offer gift stores many growth and acquisition opportunities:
Only 56% of online shoppers are satisfied with the ideas or product inspiration they can find online, according to research by Publicis Sapient. And that means there is a lot of ground to be gained in improving product presentation. For gift stores, this means examining how to make your products as discoverable as possible online to win over consumers.
E-commerce is expected to grow 30% every year, according to McKinsey. And that makes it imperative for physical stores to own an online platform. Find your niche and start selling through more channels than the physical counter, because that is the only way you can compete with other big players in the market.
Not only your product presentation, but also high-quality content should ensure better positioning of your business. And as a result, the demand for content is increasing. For retail, this remains a challenge, but one that requires attention to keep reaching your target audience, Rabobank says.
