July, 2019 - (3 years 1 month old)
Monthly Net Profit
In an ever-increasing competitive vertical where managing a robust client base becomes key to success, this company has developed a suite of CRM Facebook engagement tools.
With monthly and annual membership options that cater to both individuals and groups, as well as a low churn rate, this CRM has built-in referral and affiliate functionality. These tools enable quality, curated deal flow within all of your engaged social media clients.
No significant ad campaigns or marketing has been established as the traffic is almost completely affiliate and referral based. The contracted developer team is quick and responsive and most tickets are resolved within 24 hours. Owner administration is minimal with only projection and growth decisions a monthly priority.
The assets are owned by a limited liability company in Florida where I am a managing member along with my wife. I own 99% of the company and my wife owns 1%.
As the owner, I spend 2 hours per month on answering developer questions (Yes / No) and sending out affiliate payments with a single click to export and send via PayPal.
The developer team works 40 hours per week solving support tickets, fixing bugs and programming new features. They are self-managed with project managers, designers, developers and dev ops to manage the entire product. They are contracted through Upwork at $35 per hour. They handle everything with the app and the new owner will be able to hire this team through Upwork to continue their work on the application. We have all the SOPs already prepared and ready to transfer to the new owner.
Primary revenue from direct website outbound, inbound, and referral sales and monthly and annual memberships.
Our platform is Vue.js front end with Ruby on Rails backend. Our front end developers are skilled in Vue, React, Svelte, Angular along with our backend machine learning technology built in Python, Go, and PHP. Our data is stored in PostgreSQL, on NGINX configuration on Digital Ocean servers.
Our back end admin application can manage all customer service tasks without any code knowledge required, and we have an admin logs system that saves all robot logs data in our admin panel for developer team.
All affiliate management is handled programmatically through Tapfiliate and our customer emails are handled through Infusionsoft with built in logic for emailing customers during on-boarding steps.
Our entire application is very intuitive and built with the best user experience possible.
We built the app with a viral loop + affiliate program into the dashboard, so users are encouraged to share with their friends on Facebook, which has grown the users through referral traffic.
No poor performance drops at all. Consistent growth.
We do not have any seasonal fluctuation, traffic and revenue is consistent.
The application is limiting to only 1 application per user, as the app connects to a Facebook account where most Facebook users only have 1 profile. The big growth opportunity is in taking our newer product (released October of 2021) and promote that heavily to Facebook Group admins. A Facebook user can be admin of infinite Facebook Groups, so this raises the opportunity for lifetime value (LTV) for a single customer.
As of February 2021, over 10 million groups were on Facebook, with over 1.8 billion people using them each month. There are over 70 million admins and moderators running active Facebook groups. - According to https://influencermarketinghub.com/facebook-statistics
If I were to continue operating, I would find advertisements on Facebook or Google that attract Facebook Group admins who want to find a tool to manage their Facebook group engagement and increase their reach for their Facebook group using our application. We would find an ad that would produce at $45 cost per new paying user ($45 CPA for a $45 /month customer), then scale that to a few thousand per day in ads spend to acquire 100+ of new paying customers per day. And considering we have very low churn on this product so far, this would be a very profitable ramp up for this product in our software suite.
Google Chrome made an update recently that they will be requiring a change to our manifest file for our Google Chrome extension by July of 2023. Our developer team has already made these adjustments to a future release that needs to be completed before the deadline.
If Facebook makes an update to their platform, we have to make slight adjustments in our technology, which our developer staff is on top of each time that occurs (which is typically a few times per year).
We have quantitative admin dashboards that alert our developer team of trends that show what was changed and for which users it was updated, so then our developers are able to proactively make improvements before the problem affects too many of our users.
July, 2019 - (3 years 1 month old)
The following are included in the sale of this business:
Owners willing to stay on for significant transition and migration support as well as continued consultancy.
My wife and I are having our second child and are planning on focusing more on our eCommerce business going forward. We are seeking a buyer to take this SaaS product that we created with love and scale the SaaS revenue to where the revenue could/should be.