Looking to buy: B2C SaaS startup making between $500-$2,000 per month, single founder
Hey all,
Not really sure if this is the right place for this, but looking to buy a startup that has already made some progress, but the founder wants to move on to a different idea. I am interested any and all SaaS products, but particularly in user research. If you know anyone who wants to sell just shoot me a message.
Also, if this turns out to not be an appropriate place for this kind of request, please let me know and I will remove it. :)
Thanks!
I’ve got a B2B SaaS doing $2k / mo I’m looking to sell.
ChirpyHire.com
Just took a look. What a great landing page. Any tips or formats you follow when building landing pages?
Yes. Many. :)
My thinking has continued to evolve but here's my formula today.
Headline
Subheadline
Call to action
Social Proof
Clients / Logos
Case Study 1
Case Study 2
Case Study 3
9 ... More case studies if you have them
Benefit 1
Benefit 2
Benefit 3
Feature 1
Feature 2
Feature 3
Offer / Pricing
Call to action
Calendar Booking Form
FAQ
Footer
checkout https://convopanda.com to see a 🔥 example of this :)
When I click start a 14 day trial, it doesn't work. It would be cool to see the product in action. 👍
@masonwooley yep it doesn't have a great self-sign up flow at the moment. My email is in my profile. Shoot me an email and I'll show you a demo and give you a free trial! :)
Why do you care how many founders?
Good question, this is why I added that:
I am just one person so I figure I can handle the business after the transition. And also one founder means one decision maker, so it can hopefully go faster 👍
Also see transferslot.com and sideprojectors.com
Hey thanks Kehers!
Mason I have something that I believe would be directly aligned with what you are looking for. Send me an email message so I can discuss more with you or we can jump on call to ensure clarification. Brady9199@gmail.com
Why single founder? ..just curious
Good question, this is why I added that:
I am just one person so I figure I can handle the business after the transition. And also one founder means one decision maker, so it can hopefully go faster 👍
Hi Mason,
It's fine to ask here! Though it's not a market place people some times do have things they want to move on from.
FEInternational are the market leaders in buying/selling SaaS companies under $10m and they definitely do down to the MRR range you're looking for. I met Thomas Smale at MicroConf and had a good chat to him a few times. I highly recommend looking into going through them if you're serious.
Courtland actually interviewed the CEO of FEI and if I am not mistaken, he mentions during the interview that businesses with less then $2,000 revenue per month should not use a broker as the costs involved with due diligence end up eating a large chunk of the sales price.
Yeah, I can imagine less than $2k would be a squeeze. Haven't listened to that episode though. Thanks for pointing that out. I think I recall from chatting to him $2k MRR would cost somewhere in the vicinity of ~$80k.
That would be pretty high; a multiple of 3.3 (of yearly recurring revenue, where all revenue is assumed to be profit). Typically a multiple of around 2.5 is the standard I believe. With a business of $2k monthly profit, that would net you around $60,000.
Then again, perhaps Thomas knows something I don't ;)
I had a pretty long chat to him about heaps of stuff like this cos I was curious. He said the multiple is basically between 2.5x and 4x depending on a multitude of factors. Some main ones were does the business have a demonstrable financial history of at least 2 years? and is the business currently growing or currently in a decline? Other things factor in like how possible is it for a non-technical person to run the business etc. He reckoned a lot of buyers were non-technical people.
If ARR is < $2m then the multiple is of 'Seller Discretionary Earnings' and if it's over $2m then the mutliple is of the EBIDTA.
Cool! Thanks for sharing
Why would anyone sell for just 2.5 years of current income unless their business had completely stagnated? I expect to make 2.5 years of current income within the next six months!
My business is a membership site rather than a SaaS, but a SaaS can grow just as fast.
Thanks James, I will take a look! And also a number of people have reached out because of this post, so it seems like there is at least a small group of people in this community who fit what I am looking for!
FEInternational has a couple of good ones that look interesting. Is there an additional fee when using them, or do they take it from the asking price?
B2C SaaS
do consumers usually pay for Saas products?
Of course they do.... I’m confused by this comment. SaaS is huge.
As an example, I have a Creative Cloud subscription I pay 30$ a month for.