justiceforgod
New member
- We were running the product from late 2020 to early 2022.
- Product Hunt Kitty Awards awarded the product as the best productivity tool in 2020.
- We got to a point where the product was very popular, but not profitable at all.-
- At, a point in time the product is not anymore supported or improved for a few months.
Why we sold it?
We took too much time to build the product MVP and deliver many milestones which was a big mistake, especially for someone who is a true believer in the ship's early and fast philosophy.
After gathering feedback, it became clear that in order to have a better chance of fitting the market, the product's value proposition needed a radical pivot. It was evident that creating a new product would be more beneficial than pivoting the main features of the current product.
Here are some insights from the selling day of the product:
Users: 3376
Free plan users: 3152
Lifetime users: 224
Sales: 4859$ (All lifetime with lifetime deal providers)
Marketing spending: 0$
The product was running on a recurring monthly cost of 11$/month making the app's lifetime total cost of server, hosting, and domain around 400$
The selling process
Acquire made the process pretty easy.
I received a few offers, ended up choosing the best offer that fit, received an LOI (Letter Of Intent), passed the due diligence, and signed an APA (App Purchase Agreement). Then did the transfer and it's done!
One more selling tips
Try to prepare your product/startup for acquisition or exit even if you don't expect to exit it ...
By that, I mean to organize your product assets and folders, keep an eye on your valuation, and always try to increase it by all means. a 1$ MRR added is a 12$ ARR which increases your valuation by 24$ to 84$ if we consider the x2 to x7 selling multiple ranges.
Lastly, don't archive or shut down your project or product. You put an effort there, and you won't lose anything by listing in an acquisition marketplace, if you can't get revenue from it, or it doesn't work for you, it may work or get the interest of someone else.
If you have any questions about the process don't hesitate.
- Product Hunt Kitty Awards awarded the product as the best productivity tool in 2020.
- We got to a point where the product was very popular, but not profitable at all.-
- At, a point in time the product is not anymore supported or improved for a few months.
Why we sold it?
We took too much time to build the product MVP and deliver many milestones which was a big mistake, especially for someone who is a true believer in the ship's early and fast philosophy.
After gathering feedback, it became clear that in order to have a better chance of fitting the market, the product's value proposition needed a radical pivot. It was evident that creating a new product would be more beneficial than pivoting the main features of the current product.
Here are some insights from the selling day of the product:
Users: 3376 Free plan users: 3152 Lifetime users: 224 Sales: 4859$ (All lifetime with lifetime deal providers) Marketing spending: 0$ The product was running on a recurring monthly cost of 11$/month making the app's lifetime total cost of server, hosting, and domain around 400$The selling process
Acquire made the process pretty easy.
I received a few offers, ended up choosing the best offer that fit, received an LOI (Letter Of Intent), passed the due diligence, and signed an APA (App Purchase Agreement). Then did the transfer and it's done!
One more selling tips
Try to prepare your product/startup for acquisition or exit even if you don't expect to exit it ...
By that, I mean to organize your product assets and folders, keep an eye on your valuation, and always try to increase it by all means. a 1$ MRR added is a 12$ ARR which increases your valuation by 24$ to 84$ if we consider the x2 to x7 selling multiple ranges.
Lastly, don't archive or shut down your project or product. You put an effort there, and you won't lose anything by listing in an acquisition marketplace, if you can't get revenue from it, or it doesn't work for you, it may work or get the interest of someone else.
If you have any questions about the process don't hesitate.
