For Sale:
Established Live Chat Software and Chat Operator SAAS Business
Asking Price: $2,500,000
Description
Consumers want instant gratification. In fact, 60% of consumers hate waiting more than one minute for customer service. As a result, today’s leading companies are implementing chat software to help alleviate customer pains and create a proactive way to generate new sales leads. This industry, classified as Enterprise Collaboration Software, has seen $3.8 billion in revenue in 2014.
Founded in 2008, this business offers instant messaging software and live chat operator services to help companies immediately connect with their customers. It earns revenues through its RFP, subscription, and pay per lead software and service offerings. While its software is useful for virtually any individual customer-facing industry, the company has carved a niche in three specific verticals: automotive dealerships, legal firms and real estate. These industries alone equate to a $610.6 million market size.
Since 2012, the company has seen exponential growth in revenues from $457k to $1.1M in 2015. Over the last four years, its average Net Profit Margins are around 60%. This is mainly due to a loyal client base and an offshore operation team in the Philippines. While revenues have been steadily growing, they can keep their operational costs at an adequately low rate. With a staff of 13, they have built an internal team that empowers companies to be on the front end of customer engagement. All of the staff are willing to continue on with a new owner making the transition for this acquisition smooth and seamless. The majority of Chat Operators are located in the Philippines. To maintain a U.S. presence, the company has two Chat Operators located in the U.S, and maintains office space which it shares with the owner’s other businesses. The two U.S. employees can easily work remotely allowing this opportunity to change to a home based business model.
The company is seeking an acquisition to facilitate an exit transition for the company principal. They are looking for a buyer that sees value in a unique plug and play live chat operator platform and customer service team. The company provides a unique opportunity for partners that do business within the automotive industry. Over time, they have built an ecosystem of clients, data and relationships within the space that can be easily ported over to an incoming management team.
Financial Overview
| Gross Revenue |
$1,033,906 |
| Cash Flow |
$649,505 |
| Archive Date |
08-22-2016 |
| Status |
Archived |
| Year Established |
2008 |
| Employees |
13 |
| Inventory |
1 |
Other Information
| Category |
Ecommerce |
| Industry |
Internet |
| Location |
USA, California (Los Angeles) |
| Home Based Business |
Yes |
| Seller Finanacing Available |
Yes |
| Income Sources |
Products/Services |
Growth
The Enterprise Collaboration Software industry includes live chat and instant messaging software for enterprises and as an industry brought in $3.8 billion in revenues last year. In the next three to five years, many companies will be looking to live chat to provide support on desktop and mobile devices. Consumers are using their phones and tablets for an increasing range of uses. Companies that understand this trend and plan to adopt software to cater to it will find competitive advantages when successfully implementing live chat software.
Competition
The Collaborative software industry is very large and there are numerous players in the live chat niche. This company has partnered with two strategic software developers to gain access to leading edge software and system which they have in turn extended through their own custom development to provide a highly targeted solution for their primary industries (auto dealerships, legal and real estate) with features not found in other chat platforms. This strategy separates them from the pack by allowing them to provide focused solutions versus generic chat functionality.
Interested? Let's get in touch!