Every e-commerce owner wants to scale their business, with many hoping to eventually sell. But not everyone understands why their P&L is important to making their business sustainable and sellable.

In this episode, Izzy Rosenzweig sits down with Jeremy Horowitz, of Let's Buy a Biz!, to talk about financial literacy for DTC businesses. Jeremy shares the key elements of financial management that many e-commerce founders miss, especially when it comes to scaling from $1M to $10M. He breaks down how owners can keep their cash flow from getting stuck, how to do a thorough P&L report, and what buyers look for when acquiring a DTC business.

In this episode, you'll learn:

• Why business owners should start with just one hero product
• What growing DTC businesses should include in their P&L
• Why owners should look at their P&L before pulling money from the business

Highlights:

(00:00) Meet Izzy Rosenzweig

(01:12) Meet Jeremy Horowitz
(02:35) What DTC owners need to know about planning their exit

(04:12) The key to scaling up to your first 10 million

(07:05) The importance of knowing your P&L inside out
(14:25) Growing your tech brand sustainably
(18:23) What business buyers want to see in your P&L

(19:48) A demonstration of a mock fashion brand’s P&L
(23:26) A cash flow model for the modern supply chain
(27:12) Comparing a traditional supply chain model and a modern supply chain model
(37:39) What global growth will look like for DTC brands in the next five years

Resources:

Izzy’s LinkedIn: https://www.linkedin.com/in/izzy-rosenzweig-13653846/

Jeremy’s LinkedIn: https://www.linkedin.com/in/jeremyhorowitz1/

Let’s Buy a Biz! LinkedIn: https://www.linkedin.com/company/let-s-buy-a-biz/

Let’s Buy a Biz! website: https://www.letsbuyabiz.xyz/

Jeremy’s sample P&L: https://docs.google.com/spreadsheets/d/18yiRetZ4pJ4DwwOMx_KmmU2NElQdJIZ_LJutA6k1Vmg/edit?gid=0#gid=0

Traditional supply chain vs. modern supply chain model: https://docs.google.com/spreadsheets/d/1TjfI-A4-hPmLglrpKtvadFJ90yKT_PUD/edit?gid=1345608080#gid=1345608080