Listing ID: 78805
For sale are two unique and high-quality app games for couples which two people in a relationship can use to get to know each other even better in a fun and competitive way – using both of their devices (both iOS and Android). Users answer questions about themselves and each other and see who knows best. Winners of each level/topic gets to select a prize that can be collected from the winner in real life.
One app is for sexual intimacy. Couples connect and answer questions in 20 levels. Users can purchase the one-time premium to unlock all 20 levels instead of just the 3 free ones. This app has been released since mid-2016 and was rebuilt from scratch and re-released in 2019.
The second app provides questions in lots of different categories as well as a relationship coupons feature and a conversation cards feature. Users can purchase a premium subscription on a yearly or monthly basis. The subscription unlocks all topics, coupons and cards for as long as the subscription is active. This app was released in mid-2018.
The audience for both apps is couples, mainly ages 18-45 and mainly in the U.S.
The downloads are all organic coming from high keyword rankings in the app stores and there is some cross-promotion between the two apps.
NOTE – Financials shown are run rate over the last 3 months. TTM financials were $274K revenue and $189K profit.
Highlights & Key Assets:
o High quality apps
o Subscription revenue for one game
o All organic downloads based on great long-term keywords
o One game is #1 in keyword rankings for many great keywords
o Minimal time commitment (can run completely passive)
o Niche with increasing focus (next step for people after dating apps)
o Super low-cost to run ($1,500 per month in server costs + tool subscriptions)
o Email lists – one app user base with roughly 1.3M emails and the other app user base with roughly 600k-700k emails
o Highly skilled freelancers that can keep adding value if anything else is needed on the projects
- Asking Price: $1,400,000
- Cash Flow: $233,504
- Gross Revenue: $359,312
- EBITDA: $233,504
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2016
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The company owner is willing to offer a training period and will work with a new owner to ensure a smooth transition. And the current outsourced team will stay in place for a new owner if desired.
After several years in this niche, owner wants to move on to new projects.
This Business Is Home Based
The company was started in 2016, making the business 6 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell operating businesses. Nonetheless, the real reason and the one they tell you may be 2 entirely different things. For instance, they might claim "I have a lot of other commitments" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these might simply be reasons to attempt to conceal the reality of changing demographics, increased competition, current reduction in incomes, or a variety of various other factors. This is why it is very crucial that you not count totally on a seller's word, however rather, make use of the vendor's response in conjunction with your total due diligence. This will repaint an extra reasonable picture of the business's existing situation.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Numerous companies finance loans in order to cover things like inventory, payroll, accounts payable, etc. Keep in mind that sometimes this can suggest that revenue margins are too tight. Many organisations fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future commitments to take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that must be fulfilled or may cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the location attract brand-new consumers? Many times, businesses have repeat clients, which develop the core of their daily profits. Certain variables such as new competitors sprouting up around the area, roadway construction, and personnel turn over can impact repeat consumers and negatively impact future profits. One vital point to consider is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Clearly, the more people that see the business regularly, the higher the chance to construct a returning client base. A last thought is the general area demographics. Is the business situated in a largely populated city, or is it located on the edge of town? Just how might the neighborhood mean house earnings impact future revenue prospects?