Losing a $1m SDE Business to Bankruptcy | Morli Desai Interview

Synopsis

Morli Desai returns to discuss the liquidation of Amaira Natural Skincare, an e-commerce skincare brand she bought when it had $3.5 million of revenue and about $1 million of SDE. The post-mortem centers on hidden Google Ads dependence, CPC rising from $0.60 to $3, an 8% repeat purchase rate, Amazon compliance issues, supplier terms collapsing, and personal-bankruptcy exposure from a $2.7 million loan guarantee. The episode is mainly a risk lesson about channel concentration, retention, and acquisition debt.

Ideas in this episode

• DTC ecommerce brand

  Morli Desai acquired Amaira Natural Skincare at $3.5M of revenue and ~$1M of SDE, then liquidated it after CPCs rose from $0.60 to $3 with an 8% repeat rate.