Dan Meadors – Co-founder of The Wholesale Formula

How does Dan make money online?

Along with his business partner Eric Lambert, Dan makes money online in two primary ways:

• They buy products in bulk, get those products shipped to Amazon’s FBA warehouses, then resell them on Amazon.com. (This type of business is sometimes referred to as Amazon Wholesale.)
• They also sell an online course – The Wholesale Formula (reviewed here) – that teaches other people how to sell on Amazon.

How much money does Dan make?

A YouTube channel called Wholesale Ted spotlighted Dan’s reselling business in November 2018…

At the 1:50 mark of that video you’ll see screenshots showing that Dan’s business had sold over $16 million on Amazon in four years, and more than $5 million in 2017 alone.

That works out to more than $400,000 per month in revenue in 2017.

According to the show notes for an October 2019 interview with Dan, the average margin for the Amazon business is 20-25%, which would put the monthly profit at $80k – $100k.

It’s unclear how Dan and Eric split those profits between them or how much they reinvest back into the business.

Their online course also likely provides them with a sizable income. As of this writing, the course homepage claims to have helped 3,856 students, and I believe the entry fee is at least $2000.

That works out to about $7.7 million in revenue.

How did Dan get started?

It looks like Dan and Eric began selling on Amazon in 2015.

According to this March 2020 interview with Dan, they were only able to invest $600 in the business initially…

• Learn more about Amazon FBA
• Best Amazon FBA courses

What type of online business does Dan have?

Dan runs a multifaceted online business. 

According to our framework it can be broken down like this:

• Resale (Level 3)
  Dan’s company buys products at wholesale and resells them on Amazon.
• Authority (Level 4)
  More than 45,000 people follow the Facebook page for The Wholesale Formula.
• Digital Products (Level 4)
  Dan sells an online course teaching people how to sell on Amazon.
• Social Network (Level 5)
  Dan’s course has a significant social component in the form of a private Facebook group.

Learn more about resale businesses and see other examples