Flippa CEO Blake Hutchison details user base scale on the digital asset marketplace.
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Hutchison: 2-4 Year Old SaaS Averages 3x SDE Multiple on Flippa
“What we're seeing on average is a three times net profit multiple or SDA multiple seller discretionary earnings on a SAS asset, which is between two and four years old.”
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Hutchison: Flippa converts 35% of all listed digital assets into sales
“So we convert at 35%. So 35% of all assets list on Flipper, sell on Flipper.”
Insight
Hutchison: Maximizing listing transparency accelerates buyer bids more than intentional underpricing
“I don't think they should intentionally underprice. I think there's three, ah, there's three tips I would provide. One, be as transparent as possible, because you want bids to come in as soon as possible. If you leave too much to chance, you are slowing down t…”
Disclosure
Hutchison: Flippa charges a 5% success fee for assets over $100,000
“One, there's a best price guarantee, but for any asset over a 100,000 dollars, which is most of the founders that we'll be talking to on this podcast it's a five percent success fee.”
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Hutchison: Flippa receives roughly 4,500 new asset listings monthly
“We see around four and a half thousand listings a month on the platform across the collection of digital assets, and those digital assets are SaaS businesses, as if you, as you've alluded to so well, Nathan, and I know your community is very passionate about, …”
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Hutchison: Flippa has 1.5M active buyer accounts in six-month window
“We have 1.5 million active buyer accounts. So those are buyers looking at the platform and they have looked at the platform and considered a listing within the prior six month period.”