Another Place To Find (Mostly) Saas Orphans

people:

searchers

investors

intermediaries

lenders

lawyers

accountants

consultants

insurance

tasks:

getting started

see job postings

share your PPM

see my deals

read interviews

browse posts:

latin america

getting started

self funded

bestof

case studies

asia

interview

europe

industry news

north america

corona

networking

australia

deal making

women in search

single sponsor

operating

traditional

getting funded

africa

deal sourcing

acquisitions

tip for the week

accounting and legal

08/11/2020 Redacted Redacted

searcher University of North Texas

ANOTHER PLACE TO FIND (MOSTLY) SAAS ORPHANS

I ran across this website where a lot of SaaS companies are up for sale.  We used to call these things "aqua-hires" because at BigSoftwareCo I worked at, we buy em and the purchase was peanuts considering the talent and some code bits that could be features in our main products.

( https://app.microacquire.com/marketplace)

I have nothing to do with this site.  It just is a fascinating site which may catalyst some ideas for you or, who knows, you pick-up a little software company grab some interns to help code it and off you go.

Rick

10 likes 285 views 20 comments

searcher Comenius University in Bratislava - 08/11/2020

Andrew (the founder) is pretty active and famous in SaaS acquisition space and I have spoken to a few people there ot acquire smaller projects. The problem is that most of them are overvalued, many times at 20x top-line revenue with 20-30% margins. But there are some golden nuggets there as well...

like reply | 2 likes

searcher University of North Texas - 08/11/2020

I concur on the fantasy island approach to some people's views on value. Pretty interesting list to wander through for ideas if nothing else.

like reply | 2 likes

searcher New York University Colgate University - 08/11/2020

Seems like a very cool site. I agree that most projects are way overvalued but a good resource

like reply | 0 likes

searcher Binghamton University, State University of New York - School of Management Brooklyn Law School - 08/11/2020

Can anyone comment on whether they have actually closed on an acquisition from this site and what the experience was like?

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searcher University of North Texas - 08/13/2020

Michael, I'm chasing 7 of these things now. A roll up of sorts. Very bright people. Tired and beat up over the grind, but smart folks. Valuation Kool-Aid is been overdosed on by most. I will post the results here.

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searcher Binghamton University, State University of New York - School of Management Brooklyn Law School - 08/18/2020

Thanks, Rick. I look forward to seeing the results you mentioned.

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searcher Rochester Institute of Technology - 08/11/2020

I’ve looked at a couple of deals from the site (I know Andrew, the guy who started it). Most companies are small and aren’t experienced in buying or selling a business, so it can be challenging. Everyone seems open to offers\advice and are genuinely interested in selling, getting to a realist price can be tough, but you should be able to identify those early on. The majority of deals are side projects with small customer bases, if any. I’ve found the good deals are becoming more competitive as more folks discover the site.

overall, if you’re interested in SaaS it could be a place to find add ons. Andrew is hustling hard to get better/bigger companies in the platform, so it could become a source for larger acquisitions.

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professional Bentley University - 08/12/2020

Interesting, thank you very much for sharing; it is worth a look.

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searcher University of Maryland at College Park - 08/13/2020

Another good one is indie maker and I’ve seen some good things at website closers

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searcher State University of New York at Binghamton - 08/13/2020

As some of comments mentioned above its a growing website with some interesting companies, from the few companies I have spoken with most are side projects or lifestyle businesses and do not have the sales & marketing skills to scale the businesses. The main issue I have found is the astronomical valuations places on businesses with little or no revenue.

like reply | 2 likes

searcher University of North Texas - 08/13/2020

I'm in discussion with 7 of these now. The "how'd you come up with the value" are weak at best. They have all folded like a cheap tent when I push back. Stay tuned, as they say. Great practice at keeping a straight face.

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searcher State University of New York at Binghamton - 08/14/2020

I think that's where the opportunity is not to actually acquire these companies because they are on the surface not worth much but if you can provide operating expertise specifically in Sales & Marketing there is a tremendous opportunity. Would love to connect Rick to learn more about your approach with these firms.

like reply | 1 like

searcher University of North Texas - 08/18/2020

Hi Adam, [redacted] love to chat.

like reply | 0 likes

Stanford University - Graduate School of Business - 08/17/2020

Thanks for sharing this @Rick! interesting market place.

like reply | 0 likes

searcher Massachusetts Institute of Technology - MIT Sloan School of Management Johns Hopkins University - 08/19/2020

I have a B2B SaaS platform I am looking to offload. It is best described as Salesforce but with automated lead generation and qualification. It services companies who sell to the government/defense. Can be used as a SaaS product or internal sales engine. DM me if interested.

like reply | 1 like

searcher Miami University of Ohio University of Illinois - 01/20/2021

Hey Aj, we would be willing to take a look, or help you continue to operate it more hands off. We just launched an Operator as a Service platform email me at [redacted]

like reply | 0 likes

searcher The University of Chicago - Booth School of Business - 01/20/2021

Some other players in this space

Marketplaces

MicroAcquire
IndieMaker
Investors Club

Brokers

FE International
Empire Flippers
BuySellEmpire

like reply | 1 like

searcher University of Ottawa - Telfer School of Management - 01/20/2021

Thanks for sharing, Rick!

like reply | 0 likes

searcher University of Delaware - Alfred Lerner College of Business and Economics - 01/20/2021

Thanks for sharing, this is interesting!

like reply | 0 likes

- 01/21/2021

Thanks for sharing this resource

like reply | 0 likes

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