14 Y/O Global Database Management + Custom Software Company
Impressive, Recurring Customer Base, Pandemic-Proof Business Model, Long-Standing Reputation for Excellent Customer Satisfaction, Highly Valuable Domain Name, Silver Microsoft Partner, SBA Loan Pre-Qualified
The Company is a full-service database management company offering custom software development, database management, server management, IT staffing, performance tuning, disaster recovery, business intelligence reporting, and troubleshooting. In operation since 2006, the Company is currently up for sale to qualified buyers exclusively through Raincatcher.
The Company has provided quality solutions to businesses large and small, and governments, including federal, local, and international authorities. It offers both remote and on-site services across the United States and the world. The Company operates mainly in a Microsoft environment (SQL Server, Access, .NET, etc.), and being a Silver Microsoft Partner demonstrates its proven expertise in delivering and supporting Microsoft solutions.
Some of the prominent past or existing clients include the United States Postal Services, Comcast, Hilton Hotels, and Chevron. The existing client base offers a reference portfolio for expansion.
Driven by financial strains created by the Coronavirus pandemic, about 45% of companies will outsource software development over the next 18 months. The Company is well-positioned and has the necessary infrastructure, to capture the upside of the expected growth and grow to a multi-million-dollar operation with the help of a strong sales team.
Moreover, the Company has seen consistent growth and expanding bottom-line margins.
With a business model centered on the customer experience, the Company offers professional technology services in a manner accessible to the customer and in a user-friendly fashion. The staff is competent and friendly, which has translated into an impressive net promoter score (NPS) and stellar client satisfaction. The current owner is partially absentee and spends 5-10 hours per week working at the Company.
The Company's domain name is truly valuable. Already optimized for search engines, it has 14 years of history and clout build upon it. The website’s content and keywords are regularly updated and fine-tuned by the Company's professionals to maintain the website's current high ranking in search results.
The Company relies on Google Adwords and Bing to cultivate new clients. Existing clients are retained by setting regular follow-up calls with key clients and sending out marketing emails.
The Company has been pre-qualified by the SBA for a loan. This means that there could be just 10% down, no SBA fees, and no interest or principal paid for six months for loans funded during the incentive period between 12/20/20 - 9/30/21 (capped at $9,000 per month). Please see here for more information about the SBA Loan incentives and funding for small businesses in 2021.
Purchase Considerations
Full-service database management and IT staffing company, successfully operated under the same ownership for 14 years
Handpicked team of dedicated, highly skilled, and friendly employees and contractors
High customer satisfaction and loyalty, scoring a 55 NPS score
Great organic search results via Google and other search engines
Business is relocatable with clients across the country and the world
Remote and flexible work culture even prior to COVID-19, which allows for an increase in productivity, a reduction in commuting costs, and access to a larger talent pool
High barrier to entry for competitors due to the specialized, niche focus in products and service offerings, which are complex and hard to replicate
Ideal add-on opportunity for an existing IT Services firm to acquire a book of business with two-thirds of revenue coming in from repeat clients
Established a diverse and loyal customer base comprising small, medium, and large organizations seeking customized IT solutions that streamline their systems
Debt-free balance sheet and no outside investor pressures
Gradual, steady growth over the years
$499,225 in revenue, $183,242 in gross profit, $57,543 in net income and $134,546 in Seller Discretionary Cash Flow in 2020.
Recently upgraded operational infrastructure that can easily handle any immediate surges in business without requiring any additional investment
Automated systems and talented leadership team already in place to operate smoothly with minimal input from the current ownership
Considerable growth potential available through expanded sales channels, including adding dedicated professional sales personnel, and increasing rates to market levels.
Negotiable