The acquisition process is one of the most critical stages of your startup. You are always in the dilemma of whether you are doing something wrong by selling while in the process.
Here are some reasons due to which we have seen people selling their products:
- Founder gets a really good deal
- The product growth is slow or stagnant or this is not a primary product and the founder wants to focus on something else
- The founder is under pressure to make money and can’t wait for the product to sell
Selling a product fast and at the right multiple is like being lucky, everyone is not able to achieve that. So what’s good time to sell the project:
- When you are high growth stage, it is easy to get good multiple
- A hype train is going on and everyone is in fomo of building something big fast
But in both of these situations, you will also be in the same mindset that you can scale this to a million-dollar company, making peace with your mind and selling at this point will be very difficult at this point, you need to informed decisions by looking at the data.
Few things that you need to keep ready when you make the decision to sell the project and are in the process of searching for a buyer-
- P & L statement of your product
- All the growth and analytics at a single place
- All the services you are using in a sheet with id and password with their operating cost respectively.
- Make sure most of these services are under a single email so asset transfe becomes easier.
Here are few good acquisition stories with substantial details 👇🏻
Tweet Hunter
https://twitter.com/tibo_maker
Xnapper
https://news.tonydinh.com/p/another-6-figure-exit-and-the-future
Notionlytics
ThumbnailTest
Potion
VisualizeAI
Yep.so
Vetted
Geoman