SBA Email SaaS Company | Low 1 Customer per Month Churn | Sales Experience Needed

Currently Under Offer
  • REVENUE

    $574,610

  • INCOME

    $206,445

  • MULTIPLE

    2.95x

Asking Price: $610,000

Reading Time: 2 minutes

Launched in 2017, this SaaS company focuses on generating more revenue for their clients primarily by capturing value from website users who browse but don’t buy. In fact, clients grow sales by about 20% on average using this SaaS service. Since most clients are ecommerce companies in the $1M–$10M+ revenue range (with an average of about $2.5M), that’s some serious value-add to the bottom line. This contributes to a sticky product with a low 2.5% churn rate and positive reviews with a 4.7-star average review rating on public review sites.

The company churns fewer than 1 customer per month without marketing or sales efforts. (This proves that the product isn’t lacking since if it was, churn would be a lot higher.) Also, if marketing and sales are implemented to bring in at least 1 new customer per month, net churn can be negated and the company will return to growth again.

One hundred percent of clients are physical-product ecommerce companies, and almost all of them are in the US. These software solutions integrate with all ecommerce platforms (e.g., Shopify, WooCommerce, Magneto, BigCommerce), so the potential database of customers is large and lucrative.

The average client stays with the company for a little over three years and spends around $600 monthly, leading to an average LTV (customer lifetime value) of over $20K. This presents opportunities for paid marketing efforts to bring in customers at realistic acquisition costs while still making a profit on each customer due to the high LTV.

The current owner’s priorities are on other businesses and have been for a while. The company is currently in maintenance mode without goals for growth. This provides a unique opportunity in the SaaS space for a growth-oriented buyer to take advantage of a proven, effective service with existing customers to return the company to higher profitability again. Thankfully, the LTV for each client is so high that it only takes a few new clients to see an impact.

The most lucrative growth opportunity for most buyers will be to establish a sales/marketing team to bring in new customers and grow the existing MRR (monthly recurring revenue) foundation. Other opportunities include upgrading current clients to use all company features (as 75%–80% of current clients are using this company and another email platform) and expanding the product offering to feature SMS capabilities for clients.

The business is SBA pre-qualified. The term sheet is provided with the rest of the business information.

Join the Waiting List

This business is currently under offer and therefore no longer available. Join the waiting list to be notified if it becomes available again


Meet Your Advisor

Ethan Alexander

Ethan is a serial entrepreneur and has successfully built numerous multi-million dollar companies. He has sold and acquired a number of companies, one of which appeared on Shark Tank, and served as a broker for both buyers and sellers transactions’.

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