Would you be ready to buy a product made in no code and that generates regular income ?
I don't think the end users care what you are using to build the product that solves their problems, as long as the problem is being solved efficiently (cheaply, faster etc).
The code and no code debate is only for developers and builders.
I was about to make the same comment and yours on point @quadralyst
Hello, thank you for your answer.
I agree with you.
I like this argument that says that what's behind the product, the technical aspect is a debate between developers and no coders.
As others are saying, buyers don't care about the tech behind a product. They care about the value it provides to them. If it's going to reliably, ethically, and painlessly provide me value, why would I care if it's no-code behind the scenes? And if it's not going to do those things, why would I buy it even if it's powered by the cleanest and most professional code ever written?
If you're talking about acquiring a product, that'd be a different story. That's an investment, so I'd need to look at not only where the product is today, but the work required to grow it to the size where my investment would be worthwhile. And how the product is made is relevant to that work.
Indeed I was talking about a product, a business (I modified my question ;-) ).
Thank you for your feedback.
My idea is to develop a marketplace for investors who would like to acquire profitable business / startups created in nocode.
As a consumer, I'd prefer not to know. If it works (and is secure), who cares? : )
My question was rather the resale of a business in no code?
(Victor, if I'm misunderstanding your question, let me know. I interpreted to mean "what if I want to sell my nocode-service business?". If you are instead referring to a B2B customer sale; my same comments apply: Security / scalability / uptime will just become significantly more important.)
Business valuation in a transaction will depend on the buyer.
If the buyer has a strategic preference for code, they may penalize you for nocode.
If the buyer has a strategic preference for nocode, they may reward you for nocode.
Net of that, it's going to come down to the following questions regardless of code vs nocode:
Does the service generate cash or something of value that the buyer can turn into cash?
Are the unit economics sound?
Are there any huge risks / threats to the business (e.g. security, competitors)?
What is the future opportunity for the business and can we seize it? (e.g. scalability, competitive advantages, market trends, market size, etc.)
(Sometimes) How valuable is the current team to our current business?
If you can answer these with a no code solution, it should be fine sans a possible penalty from a buyer with something against nocode.
(I say all of this with the assumption that nocode can address 1-4 for your business; if it can't, then you probably need to code.)
You understood my question completely.
And I thank you for your elements of answers that allow me to understand the mindset of buying it in the face of this type of investment.
Thank you 🙏🏻
Yes of course! The no code part is the smallest issue. What the product is and it’s market and how you get customers are bigger issues.
This is an interesting question. If a business has proven demand and a growing customer base, then those customers have a lot of value on their own. The actual setup of the business would have essentially no value to me, however.
Any serious growing business will have to transition to a proper development stack at some point, so I'd basically think of this as buying an audience and a proven model. Sort of like buying a nice piece of property with a leaky shack on it. I might live in the shack temporarily, but I know I'll have to tear it down and build an actual house eventually.
TL;DR — Absolutely, but the value would entirely be the customers and brand, not the no-code setup.
Thank you for your response.
I really like your comparison. Even though I think that some business no code has 70-80% automation that relies solely on marketing may not be coded.
In the end it all depends on the complexity of the product made in no code.
But on a complex and scalable product that wants to grow, development becomes mandatory and no code complicated.
Interesting, Griffen. I'd be interested in your comments on my write up above.
Agree with @quadralyst - and very likely if you post to "No-code", you may get biased answers :D
That's true ;-)
I as a developer who hasn't looked into no-code yet, wouldn't want to buy something that I can't fully control. With no-code, afaik you're always at the mercy of whoever provides the building software. I'd much rather be willing to buy something if I know I can just upload the docker container to some other server tomorrow if DigitalOcean or whoever else goes to shit
it's true. In this case the security of the product "developed" in no code becomes the priority of this same product if it is to be sold.
Thank you for your answer!
If the product can quickly be developed again in actual code and the usp is the audience and paying customers, then it doesn't really matter though.
Good question, made me think.
It depends on what the product is and who its for.
Mostly yes, because it shouldn't matter. But for me personally, if I know it's made in no code and isn't very complicated I'd try to hack together something myself. But that's just the cheapskate in me talking.
I like your reasoning but as an investor would you be ready to buy a startup/product entirely made in no code if it is already profitable?
I think investors are looking for ideas rather than products to invest in. Then it doesn't matter.
But sometimes, they are also investing in the talent. This part might suffer as no-code could be seen as a lack of skills.
So while it wouldn't change my decision, it would affect my valuation.
But thats just me, It would depend a lot on how robust and scalable the product is for the future.
Thank you for your feedback.
Indeed the product, the proposed value and the profitability. Are for me the 1st factors that the investor will look at.
And it is true that the fact that this in no code can to do an incidence on the price of the investment.
Honestly, it depends on whether or not the product is useful to me. If it is, I don't care if it is a nocode product or not, I'll use it anyway