|Case Study: Purchasing a project management SaaS
Earlier this year, Nathan Stitt bought MyClientSpot, a project, client, contractor, and time management SaaS. He has now written up a case study on his purchase, including his motivations for buying an up-and-running business, the role FE International played in the purchase, his initial worries, and the lessons he learned along the way. He will be giving updates on his progress with MyClientSpot over the coming months, so please bookmark his site if you are interested in learning more about the buyer’s journey.
The latest iteration of Google Analytics has now been released and features a host of new features including expanded predictive insights, closer integration with Google Ads, more granular data controls, and cross-device measurement capabilities. Automatic alerts to data trends are one of the new AI-powered tools. The new predictive insights should allow many businesses to better anticipate future actions of customers.
One of the most noticeable changes to the interface is how reports are organized. All reports are now organized around the customer lifecycle. One of the aims of this redesign is to allow marketers a more complete view of how customers engage with their business, across both devices and channels.
Third-party sellers have added 60% to their profits on Amazon Prime Day, compared to last year, according to Amazon. While Amazon’s total sales remain unknown, it gives some indication of the scale of the world’s second-largest e-commerce event.
“Prime members saved more than $1.4 billion during Prime Day, taking advantage of deep discounts and incredible deals over the two-day event—some of the top categories members shopped and saved globally included Home, Electronics and Nutrition & Wellness” – Amazon Press Release – October 15, 2020
Small businesses were a major focus of Amazon’s efforts in the run-up to Prime Day with hundreds of thousands of deals from small and medium-sized businesses being promoted over the two-day event. More than $900M was generated by small businesses via the Spend $10, Get $10 promotion.
Our friends at Stripe announced Thursday they will be acquiring Paystack, a startup out of Lagos, Nigeria that integrates payment services into online and offline transactions. Terms of the deal are not being disclosed, but sources speculate that the acquisition is for over $200 million. Making this Stripe’s biggest acquisition to date as well as the biggest startup acquisition to come out of Nigeria. Stripe reports that initially “Paystack will continue to operate independently, growing their operations in Africa and adding more international payment methods.” However, over time, the startup’s capabilities will be embedded in Stripe’s Global Payments and Treasury Network (GPTN). Stripe’s strategy continues to mature as they shift focus from acquiring smaller companies to expand its technology stack to this larger acquisition intending to expand their global footprint. In the last 18 months alone, Stripe added 17 countries to its platform.
A crucial business decision for entrepreneurs and founders is whether, when, and how to reinvest in their companies. Reinvestment is one of the best ways to scale a profitable SaaS company. For many SaaS founders, the decision to reinvest profits in order to grow their business is obvious. But what may often be less evident is the best strategy to deploy, and what priorities should come to the fore. SaaS Mag spoke to five founders and executives about their individual strategies and what they’ve found has worked for them.
|New Business For Sale
For sale is an established content and lead generation business in the lucrative personal finance niche, with a combined c.445k page views in the LTM.
With thousands of pages of informative content, the business has secured a firm foothold in the growing and profitable personal finance industry. With a current total transaction value of $1.1 trillion, the industry is set to grow at a staggering 25.2% CAGR over the period of 2020 and 2024, reaching a total projected transaction value of $2.6 trillion.
The sites are monetized via lucrative affiliate and lead generation partnerships with some of the leading brands in the space. Amassing a total of 16 partners, revenues have grown at c.44.6% CAGR from 2017 to (e)2020. With c.$1.1M in revenues throughout the LTM and a lean operating structure, the business has significant cash flow for growth.
The business offers a unique opportunity for a new owner to take over a proven and authoritative content business in an expanding niche.
Some key highlights:
Request a prospectus from the link above to learn more.
|For more updates throughout the week on the financial world of online business M&A, follow our team on Facebook, LinkedIn, Twitter, and Instagram.|
OTHER NEW LISTINGS
- Firm foothold in the Gardening niche
- Growing month-over-month revenues, averaging c.27% CMGR in the LTM
- Highly diversified revenues with highly attractive affiliate partnerships
- Simple and lean cost structure
Yearly net profit: $138,000
Asking price: $353,000
- Strong white-label B2B business in the Social Media Engagement niche
- Successfully connected over 1.3M users through social media over the LTM
- Impressive revenue growth that is on track to expand c.126% from 2019 to 2020(e)
- Lean and scalable cost structure driving high net margins
Yearly net profit: $492,000
Asking price: $1,978,000
- Firm foothold in the Custom Discounting niche
- Growing MRR of $10,247 as of September 2020
- Impressive growth in active merchants, growing at a c.113% CMGR
- Growing LTV of $38 as of September 2020
- Simple cost structure
Yearly net profit: $90,000
Asking price: $254,000
Until next week!
The FE International Team