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As the direct-to-consumer (DTC) space continues to expand, many brand owners find themselves at a crossroads. Once their brand reaches a certain level of success, the question becomes: What’s next for growth?
Two of the most popular routes involve partnering with either ecommerce private equity firms or e commerce aggregators. Both offer funding, expertise, and pathways to scale—but the approach, structure, and long-term goals often differ greatly.
Understanding these two models is crucial for DTC founders who are exploring growth or exit opportunities. Let’s break down how each path works and determine which one may be the better choice, depending on your brand’s vision and growth stage.
E commerce aggregators are companies that acquire and manage multiple ecommerce brands—especially those that operate on platforms like Amazon, Shopify, or WooCommerce. Their aim is to buy promising brands and use their internal systems, marketing resources, and supply chain expertise to grow them efficiently.
Key characteristics of e commerce aggregators:
Acquire small to mid-sized ecommerce brands
Focus mainly on Amazon-native or DTC online stores
Rely on in-house teams for marketing, logistics, and operations
Offer quick exits with structured payout terms
This model is particularly attractive to founders looking for a fast sale or those who want to step away from daily operations after handing over the brand.
Ecommerce private equity firms invest in ecommerce businesses with the goal of scaling them significantly over time. Rather than acquiring many small brands, they focus on building or growing a smaller number of companies to maximise returns.
Key characteristics of ecommerce private equity:
Invests in larger, more established ecommerce businesses
Offers long-term capital, often with multiple funding rounds
Works closely with founders or management teams
Focuses on growth through innovation, efficiency, and market expansion
This model suits DTC brands that are looking to level up while keeping some control or ownership in the business.
For founders considering a full exit, the speed and simplicity of the process are often key factors.
E commerce aggregators typically offer:
Faster acquisition timelines (30–90 days)
Streamlined due diligence processes
Structured payouts with partial upfront and earnouts
Less complex legal and operational frameworks
Ecommerce private equity deals usually involve:
Longer due diligence and negotiation periods
Detailed financial and legal analysis
Potential for multiple investment rounds
Higher valuation but more involvement post-deal
If a founder’s goal is to sell quickly and exit completely, aggregators are often the more efficient route. However, those seeking a higher valuation and more involvement might lean towards private equity.
The future of your brand post-deal depends on who you sell to. Founders must consider how much control they wish to retain.
With e commerce aggregators:
Founders often exit within a few months
Operations are taken over by the aggregator’s team
Brand identity may be adapted to align with the aggregator’s systems
Less room for founders to stay creatively involved
With ecommerce private equity:
Founders typically stay on board for a few years
Input on brand direction is welcomed and encouraged
Opportunities exist for equity growth and performance bonuses
Collaborative decision-making with experienced partners
For those passionate about their brand’s mission and future, ecommerce private equity may offer a better fit.
Each path brings its own strengths when it comes to scaling a DTC brand.
E commerce aggregators provide:
Access to shared resources across their brand portfolio
Centralised advertising and marketing teams
Improved supply chain efficiencies
Faster market expansion through existing infrastructure
Ecommerce private equity offers:
Tailored growth strategies based on the brand’s strengths
Access to professional networks, advisors, and marketing agencies
Funding for product innovation, new market entries, and talent recruitment
Data-driven insights with an emphasis on profit and long-term sustainability
If your goal is rapid, system-based expansion, aggregators may help. However, if you seek a deeper, more customised growth strategy, private equity brings more flexibility.
Naturally, the financial outcome of selling or partnering with either option plays a key role in the decision.
E commerce aggregators usually offer:
Competitive upfront payouts based on current profits
Earnouts tied to future performance for 1–3 years
Limited equity or future involvement
Ecommerce private equity deals offer:
Higher potential valuations, especially for scalable brands
Options to retain ownership or take on a new leadership role
Future payouts based on company performance or exit events
More varied deal structures to match founder goals
For entrepreneurs thinking, I want to sell my brand but also benefit from its future, private equity presents more upside potential.
The right path depends on your business goals, current growth stage, and personal plans.
Choose e commerce aggregators if you:
Want a fast, clean exit
Run a profitable brand with limited team or infrastructure
Prefer not to stay involved post-sale
Operate primarily on Amazon or through simple DTC models
Choose ecommerce private equity if you:
Want to keep building your brand with professional guidance
Have a larger or rapidly growing DTC operation
Aim to explore new products, markets, or retail channels
Seek higher valuations and flexible deal terms
Both paths offer valid routes to scale and profit. The choice depends on what you value most—speed or strategy, control or exit, short-term gain or long-term partnership.
Whether you choose ecommerce private equity or an e commerce aggregator, the ultimate goal is growth—both for your brand and yourself as an entrepreneur. Each model serves different needs, and understanding their differences helps you make a confident, informed decision.
DTC brand growth can be explosive with the right support. So, take time to evaluate which partner fits your vision and where you want your journey to go next.