What should I check before buying a small Shopify store?
I found a Shopify store with good monthly revenue and paid ads driving most sales. The seller says the brand has strong potential, but I am worried about ad dependency and supplier risk.
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Ask for traffic by channel, ad account access, contribution margin after ad spend, refund rate, chargebacks, supplier terms, and customer repeat purchase rate. Revenue without margin is dangerous. Also check if the creative assets, customer list, domain, email list, and social accounts are included.
Watch out for stores where revenue disappears when ads stop. Ask for daily sales and daily ad spend side by side, not just monthly revenue screenshots.
Supplier concentration matters. If one overseas supplier controls the product and there is no backup, the business is more fragile than the revenue suggests.