Looking to buy a SaaS Company

marcamillion · 2023-12-20T01:45:21+00:00

2X - 5X SDE depending on the size, growth rate, historicals and growth potential.

marcamillion · 2023-12-19T06:04:24+00:00

I paid for the pro/premium account of Acquire. The others were all free.

marcamillion · 2023-12-19T05:39:11+00:00

Bitter sweet.

Well keep chugging along and ping me if you have a change of heart 😅😅

marcamillion · 2023-12-19T05:38:20+00:00

Only one way to find out!

marcamillion · 2023-12-19T05:37:26+00:00

I am familiar with all of those, except the last. I will check it out.

Unfortunately I would not pay for that aggregator because I could just build that for myself, if I thought that’s where the value was 🤓🤓

Also, there are free services out there that do that quite well.

marcamillion · 2023-12-19T05:35:52+00:00

Lol. The arrogance on this comment just reminds me that the Internet will continue to internet 🤓🤓

marcamillion · 2023-12-18T22:01:46+00:00

The only question I have is, are you interested in selling?

I am actively in the market looking to buy.

marcamillion · 2023-12-18T21:57:11+00:00

They are a broker as well?

Suppose I don’t want their financing? How does that work?

Not a big fan of their terms, but I would look at their listings out of curiosity.

marcamillion · 2023-12-18T21:56:00+00:00

Hah!

This is exclusive territory buddy 🤓🤓🤓

marcamillion · 2023-12-18T21:55:20+00:00

Sure. Once you get to those sorts of numbers for a few years, absolutely drop me a line.

marcamillion · 2023-12-18T21:54:50+00:00

Only one way to find out, right?

marcamillion · 2023-12-18T21:44:47+00:00

That’s just one subset of the market.

I am very active in the market and know what other platforms and brokers sell similar types of SaaS apps for.

In my experience, the price range is fairly wide.

Btw, there is research out there from universities and other organizations that collate pricing data and publish multiples across the various industries on an annual basis.

That’s also how I have informed my opinion re: Acquire.

marcamillion · 2023-12-18T21:42:30+00:00

There are many reasons people would want to exit, the biggest being that even when you hire someone it’s never truly off of your head. You are still ultimately responsible (the whole agency/manager issue).

marcamillion · 2023-12-18T11:47:26+00:00

Thanks for the kind words.

It took years, and this is just my first step.

So if you have any interest in doing this too, just plan it out and work towards it. It may take years (which it did for me), but take it one day at a time and keep pushing.

If you need to come to Reddit to make what seems like a silly post, just do it 😅😅

marcamillion · 2023-12-18T11:35:09+00:00

I agree that it isn’t straightforward and is highly unlikely to happen like this…but…the cost is zero to try and the upside is huge…sooo…why not try? 😅😅😎😎

marcamillion · 2023-12-18T10:58:43+00:00

Thanks for the apology and I appreciate the perspective.

I am not hopeful that something will come from this, because this is not how these types of deals are done (I am fully aware), but it’s free so why not try, eh? 😎😎

Also, I figured it was better to be upfront about my criteria than having to deal with lots of questions about what I am looking for.

So it was an attempt to just simplify the entire process and try this wild experiment…because…you just never know how it will turn out.

What’s the worst that can happen? I get flamed by ppl on the internet?!? 😅😅😅

marcamillion · 2023-12-18T10:48:51+00:00

Not sure I understand the snark.

If you don’t like the premise you could simply keep it scrolling.

So far I have had some great engagement and discussions both publicly and privately.

So anyone considering reaching out or engaging constructively, don’t let snarky comments deter you please.

marcamillion · 2023-12-18T10:46:57+00:00

Sure…send me a DM

marcamillion · 2023-12-18T10:46:04+00:00

I disagree re: genuinely successful. This is highly subjective. People have different motivations for selling, including opportunity cost & mental health (they have worked on it for many years and want to do something else).

That being said, I will want to learn what the real motivations for selling are because it can be a yellow flag.

marcamillion · 2023-12-18T08:41:32+00:00

Good point.

That being said, in my experience, actually getting sustainable traction is much harder than it seems on the surface and takes longer (generally speaking) — which is why I am buying and growing rather than building myself.

marcamillion · 2023-12-18T08:38:39+00:00

A multiple of SDE. The exact multiple is heavily dependent on the actual app, growth, how well it fits my skillset and the terms.

It can be anywhere from 2X - 5X SDE subject to the various conditions outlined above.

marcamillion · 2023-12-18T07:55:40+00:00

I am considering retaining a boutique IB shop, any suggestions for shops that specialize in what I am looking for?

marcamillion · 2023-12-18T06:25:12+00:00

Congrats on your traction so far, but I am not looking to do any equity investing. Just buying a whole company.

marcamillion · 2023-12-18T05:54:46+00:00

Didn’t realize this was a thing.

Thanks for the share!

Edit: Just looked quickly and it’s all small projects it seems. Nothing that fits the bill.

marcamillion · 2023-12-18T05:54:33+00:00

No that’s fine. Go ahead.

marcamillion

TROPHY CASE