[alex_g]

No shame in my #3 above. I'm not an expert, but typically multiples range from 1-4x annual profit, but I've heard through the grapevine that some folks are paying 5-10x. So absolutely list on MicroAcquire.

If it's very profitable, then they might consider talking to FEInternational (or another firm like them). They take a cut, though. But they do pay referral fees, so make sure you get that cut!

Edit: Before someone says I'm crazy for saying things sell for 1x annual profit, I'm not saying that's typical for a brilliant business. It's more typical for something with heavy maintenance, or with really low profits. If you're really interested, check out the link in my bio.

[cestith]

For a business that is all about monthly recurring fees, rather than an annual multiple a big part of the consideration can be the customer acquisition cost in the industry. If I have a similar company already, I'll pay you up to somewhere around what it costs me to acquire the same number of new customers some other way. If you have 10,000 subscriptions and it generally costs me $5 per customer to land new subscribers, $50,000 makes a lot of sense. Much less than that is a real bargain. Much more and maybe I just spend the money marketing to your customers instead, depending on what other assets come in the deal. This is largely independent of what your subscription fee is.

[bombcar]

1x annual profit is common for businesses that are really just a consultantcy.