How to sell your SaaS

Hello everyone, Domenico is here.

In this article, I’m going to speak about how to sell your SaaS, on which platform, and what are the critical metrics for a buyer.

This article is made from my last course, Build&Sell (30% off using the code EARLY30).

How can you evaluate your SaaS?

First of all, I’m going to write this section for the platform Acquire.com. I had a lot of experience there, and I sold 5 micro-saas during the last 1.8 years.

I will follow 2 methods, that usually you can combine. Quantitative method and qualitative method.

How can you give a final price to your SaaS?

The simplest method for doing that is this:

MRR*12*Multiple

Then it’s equal to your ARR — Annual Recurring Revenue — multiplied by the multiple of the field you’re in. To give you an idea, usually, a SaaS on Acquire is listed with a multiple of 5 based on the Profit you have.

Buyers also look at the multiple on the total profit, not only on the revenue. That’s why it’s important to have a good margin on your product.

For exploring the multiples used on Acquire, this is good research you can look at: https://blog.acquire.com/acquire-com-biannual-acquisition-multiples-report-feb-2023/