Listing ID: 78863
For sale is an iOS app that helps users scan and sign documents. The app was launched in February 2019 and has generated a total of over 800,000 downloads and $380K in net revenue. The app is available worldwide and uses a subscription monetization model.
Highlights & Key Assets:
o Monthly Downloads: 13,000
o MAU: 33,000
o DAU: 2,300
o Average user lifetime is 2.5 months.
o Search requests for “PDF scanner”�, “pdf editor”�, “fax”� and etc. have high popularity on the AppStore. So there is regular traffic from users who will try to find any app to scan, edit and fax files.
o This app has good trust from the AppStore and gets strong organic installs (month by month) so it will continue to produce revenue even without paid user acquisition.
o More paid UA will help increase revenue and profit.
o Specific growth potential – after iOS 14.5+ was released more than 80% of users were from Google UAC campaigns. The owners got good results from this channel, but had already paused it before using SkadNetwork. For FB, Value optimization may be the key performance feature, as they have good LTV for paid users. The same option for Apple Search Ads.
- Asking Price: $430,000
- Cash Flow: $147,990
- Gross Revenue: $237,139
- EBITDA: $147,990
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
The company owner is willing to offer a training period and will work with a new owner to ensure a smooth transition. This is flexible depending on your needs. There is an outsourced group that will continue working with a new owner if desired.
Owners are selling their current apps to focus on the mental health space.
This Business Is Home Based
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals decide to sell companies. Nevertheless, the genuine reason and the one they tell you may be 2 absolutely different things. As an example, they might claim "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these may simply be justifications to try to conceal the reality of transforming demographics, increased competitors, recent decrease in earnings, or a variety of other reasons. This is why it is really vital that you not rely entirely on a seller's word, however instead, use the vendor's response in conjunction with your general due diligence. This will repaint an extra reasonable image of the business's present circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous businesses borrow money so as to cover points such as stock, payroll, accounts payable, etc. Keep in mind that in some cases this can indicate that profit margins are too small. Lots of businesses fall under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also be future obligations to think about. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that should be satisfied or may lead to fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location attract brand-new consumers? Many times, operating businesses have repeat customers, which develop the core of their day-to-day profits. Particular variables such as brand-new competitors growing up around the area, roadway building and construction, as well as personnel turnover can impact repeat consumers and negatively influence future incomes. One important point to take into consideration is the placement of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Clearly, the more people that see the business often, the better the possibility to develop a returning consumer base. A last idea is the basic location demographics. Is the business located in a densely inhabited city, or is it situated on the outside border of town? How might the local average household earnings impact future revenue potential?