The two high-profile etailer flotations of last year, each of which subsequently disappointed, may be showing signs of getting back on track.

The two high-profile etailer flotations of last year, each of which subsequently disappointed, may be showing signs of getting back on track.

White goods specialist Ao.com, initially valued at more than £1bn when it listed and now worth only about half that sum, expects a sales uplift of about 20% in its most recent quarter.

Although the shares fell following the update, they had risen strongly in the run-up to a capital markets day on Monday in anticipation of decent news.

Now eyes turn to fashion specialist Boohoo.com, which posts interims next Tuesday. Good news might be expected from it too. When it last updated, in June, sales were ahead by 35% overall.

Entrepreneurial founders

Each business is run by entrepreneurial founders, Ao by John Roberts and Boohoo by the yin and yang double act of Mahmud Kamani and Carol Kane.

Robust and resolute characters such as Roberts and Kamani can be too strong meat for some.

But in the case of youthful businesses such as Ao and Boohoo, investors should buy the management as much as the business story.

When Boohoo had to warn on profits Kamani pledged to work “20 hours a day” to put things right.

The etailer’s share price rise over the past three months – up more than 23% at the time of writing – indicates the hard graft is delivering.

The sky-high valuation of Ao for its IPO will no doubt mean many investors are still feeling sore. However, they made their decision to buy in, that’s in the past.

Credit to founders

The hope must be that, from here on in, the only way is up. And if so, a lot of the credit must go to their driven founders.

Eventual success won’t have been dictated by numbers in a prospectus, but through the determination of individuals and their teams.

There may have been downs as well as ups so far, but building businesses strong enough to come to market is testament in itself to their capabilities.

Of course it is also up to the entrepreneurs to lay the ground for eventual leadership succession.

But that’s for another day, once the companies have come good on their flotation promise.