Close

Choose your country

Or view all businesses for sale

Worldwide

Sell Your Business

Advertisement

Licensing Software Business For Sale

New Jersey
Asking Price:
$1,300,000 (USD)
Sales Revenue:
$2,364,407 (USD)
Cash Flow:
$486,880 (USD)

The company is a well-established business consisting of eleven full-time staff and three long term off-shore contractors. They have had an impressive profitability track record since their inception. With its main office located in Northeastern U.S., the company has been delivering exemplary licensing software services to a nearby Northeast state for many years and is uniquely qualified to continue delivering these services and more.

In business since 2001, the company provides software design development and support services to state agencies that protect the health, safety and welfare of the public by regulating professions, activities, sites, and other entities through compliance and education.  Their reach into more agencies within its service state has steadily grown, as regulatory agencies with unfulfilled needs have elected to move to the the company's Agency License Management System (ALMS). The services provided involve more than software development and maintenance. Their experience working with the state and expertise in licensing methodology provides their serviced state with a more valuable product than the typical software development vendor. Agencies currently using ALMS have a high level of satisfaction.   New agencies often hire the company primarily as a result of their reputation and word-of-mouth referrals from other agencies.

Due to the niche nature of the business, the company does not compete directly with any “top competitors.” Given the long-term contract with its service state, with an annual value of $2 million (plus unused funds carried from prior years), revenue from the serviced state represents 100% of the company’s total revenue (100% recurring revenue).

While achieving impressive financial results over the past years, the company still has significant opportunity to grow by targeting other agencies within its current serviced state that are displeased with their current licensing system. Becoming part of a larger company would allow for more dramatic growth by positioning the company to broaden Its service offerings within the currently serviced state as well as being able to to expand into other states.

With over $2.3 million in total income, $487K in seller’s discretionary cash flow, an average EBITDA margin of 20%, the company is listed at $1.3MM with negotiable terms.

Purchase Considerations:

- Established company of 17 years with impressive track record
- Consistently profitable over the years of operation
- Niche leadership position in the licensing space
- Long-standing, strong relationships with service state and its agencies
- Healthy margins with an average EBITDA of ~ 20% of revenue
- Immense unlocked growth potential with unexploited opportunities within - and outside of service state
- Long-term exclusive customer relationship in place with a yearly value of $2MM
- Highly skilled staff with expertise in licensing and strong software development skills
- Exceptional customer support

To view the slide deck for this business, click here https://listing.raincatcher.com/listing/software-business/
and follow these steps:

1) Select "Login to Sign NDA" to the right

2) Select "Not a Raincatcher buyer member yet? Click here to create an account and get exclusive access to our premium business-for-sale listings..."

3) Enter your information and click on "CLICK HERE TO SIGN NDA"

4) Scroll to the bottom of form, sign your name in the "Receiving Party" box, input your company title and then click "SUBMIT"

5) Click "Continue.."

6) Click button "ALMOST DONE! CLICK HERE TO TELL US WHAT YOU'RE LOOKING FOR"

7) Fill out form with your business acquisition preferences and click "SIGN UP"

8) Check your email for an email from Raincatcher Team with the subject "your name, here’s your username and password to access the Raincatcher listings" --- your user name and password will be included in this email.

9) Click on the URL

10) Enter your username and password and click on "Login"

11) Click on the listing under Signed Listings and click "View the Slide Deck". You can also submit questions about the listing by clicking on "ASK A QUESTION"

Property information

Real Estate:

Lease

Premises Details:

§ The business site is leased.

§ 2,139 Sqft.

§ Rent Expense: $45,989/ year, or $21.50 per square foot.

Size in square feet:
2,139

Business Operation

Expansion Potential:

The Software Publishing industry is a $250 billion market. Over the past five years to 2018, industry revenue is estimated to have risen at an annualized rate of 5% (including a 3.8% increase in 2018). In the same time frame, the number of businesses has grown by 6.3% and the number of employees has grown by 7.1%. State and local government IT spending has also consistently increased over the past 4 years. In 2018, state & local annual IT spending totalled $103 billion compared to $97 billion in 2015, implying an increase 6.2%. Strengthening corporate profit stimulated demand from businesses, while rising disposable incomes encouraged consumers to spend more on software. The rise of web-based solutions and the increasing popularity of mobile devices have triggered an explosion of mobile software applications.

Competition / Market:

Due to the niche nature of the business, the company does not seem to have any clear direct “top competitors.”

Reasons for selling:

Owners planning for retirement and interested in creating a succession plan

Employees:
11
Years established:
17

Other Information

Support & training:

The current owners will want to provide the new owners with the initial training and subsequent transition support they will need to properly serve their serviced state and continue growing the business. The amount of training and support needed will be a factor of the new owner’s background as well as their decisions regarding which current employees are retained.

Inventory / Stock value:
$72,293 (USD)
Related Documents:

Contact Information

  1. Optional
  2. Country

  1. Optional
  1. What will I receive?

    BusinessesForSale.com is committed to protecting your privacy. Ticking this box means you are consenting to us sending you marketing emails.

    You will receive newsletters, updates and offers about business and franchise opportunities. We will also send you information about related business and franchise events.

    You can change your mind at any time by clicking unsubscribe in the footer of our emails.

    Find out more about what we do with your information in our privacy policy.

By submitting this form, you confirm that you agree to our Terms and Conditions. Please note that BusinessesForSale.com will send the above details to Raincatcher. For more information about how we use your data, read our privacy policy.

Selling your business?

If you own a business and are considering selling, visit our Sell a Business section. Limited Free Trial available.

Sell Your Business

Are you a Business Owner?

Set up your Private Seller Account and create your listing today

Get Started Here

Are you a Business Broker?

Set up your BrokerWeb Account and list multiple businesses

Get Started Here