Most small subscription software businesses sell for 2–4 years of yearly subscription income when they make under $50K a year, rising to 4–6 years of income above $100K a year if the cancellation rate is low. The best time to sell is right after a growth milestone. The three most-used marketplaces are Acquire.com, Flippa, and Empire Flippers.
The market for selling small subscription software has grown up. Acquire.com alone has handled over 10,000 sales. A product earning $3K a month in subscriptions — which couldn't have been sold in 2018 — now regularly sells for $70K–$120K. Buyers range from individuals investing their savings to small investment groups buying up profitable little products.
How Much Is Your Micro SaaS Worth?
The starting point is yearly subscription income (your monthly subscription income times 12). Then a multiplier is applied — how many years of that income a buyer will pay for the whole business. The multiplier goes up or down based on cancellation rate, growth, and how much the business depends on you personally.
Most sales take the last 12 months of subscription income and multiply it by a number between 2 and 6. At $3K a month ($36K a year), a multiplier of 3 means a $108K sale price. The multiplier depends more on cancellation rate and growth than on how big the business is.
| Factor | Negative Impact | Positive Impact |
|---|---|---|
| Cancellation rate | >7% per month → lower price | <2% per month → premium price |
| Income trend | Falling or flat | Growing 10%+ each month |
| How much it depends on you | Only you can run it | Written instructions, automated tasks |
| Customer mix | 1–2 big customers | 100+ small customers |
| Tools used to build it | Custom, unusual tools | Common tools, clean code |
| How customers find you | Paid ads only | Google search and word of mouth, no ad spend |
When to Sell
Founders who time their sale to a milestone — hitting $5K a month, $100K a year, or turning profitable — consistently get a higher price. Buyers pay for momentum, not for potential.
Founders often wait too long. Once growth flattens, buyers pay less even if total income is high. A business making $3K a month growing 15% each month is often worth more than one making $8K a month growing 2%.
Where to Sell
Where you list decides who sees your business and what price you can realistically get. Smaller sites attract bargain hunters who make low offers. Established brokers attract serious buyers who pay more.
| Site | Best For | Typical Yearly Income | Fee |
|---|---|---|---|
| Acquire.com | Listing it yourself, fast sale | $10K–$500K a year | No seller fee |
| Flippa | Bargain buyers, quick sale | Under $50K a year | ~10% if it sells |
| Empire Flippers | Top prices | $50K–$5M a year | 15% below $700K |
| FE International (a specialist broker for software businesses) | Larger, professional buyers | $500K+ a year | ~15% commission |
From listing to money in your bank: 3–6 months on Acquire.com for well-priced listings under $200K a year. Empire Flippers runs 3–9 months. Rushed sales at below-market prices can close in 30 days.
How to Prepare Your Business for Sale
Before they buy, the buyer investigates the business — this is called due diligence. They will check your monthly subscription income history, your cancellation rate, where your visitors come from, and the quality of your code. Getting this in order ahead of time removes objections and protects your sale price.
Three things kill deals after a buyer signs a letter of intent (a non-binding offer to buy — meaning neither party is yet legally committed to completing the deal):
Write a clear step-by-step guide covering: how new customers find you, how billing works, how you handle support, and how the tools you used to build it are maintained. Buyers who can't picture running the business without you will walk away or lowball you.
If one customer pays more than 20% of your monthly subscription income, buyers will pay much less. Start spreading the income at least 90 days before listing. Even adding 10 new small customers makes the business look safer.
If your monthly cancellation rate is above 5%, fix it before listing. 90 days of falling cancellations changes the story from "risky business" to "steady subscription income." One good "we fixed our cancellations" story can add 0.5–1 year to your multiplier.
What Buyers Actually Look For
Buyers want a business that can be handed over without breaking. The most common reason deals fall apart is that the business depends too much on you — only you know how it works, customers stay because of their relationship with you, or only you can answer the support questions.
The most common buyer of small subscription software businesses under $200K a year is one person — someone leaving a 9-to-5 who wants to buy a business rather than build one. They care about clear instructions, simple operations, and proven ways of getting customers — not future potential. Write your listing for this buyer.
Negotiation and Closing
Most small subscription software deals close as an asset sale — you sell just the product, not the company itself. That means selling the code, the domain name, the customer list, and the intellectual property. The buyer doesn't take on any debts or legal liabilities from the company. Common deal terms include:
| Component | Typical Structure |
|---|---|
| Sale price | Paid in full at closing (under $200K), or 80% up front plus 20% as later payments tied to results |
| Length of those later payments | 3–12 months, tied to keeping a set level of monthly subscription income |
| Help during handover | 30–90 days where you're available to answer questions after closing |
| Non-compete | A promise not to start a similar business for 2–3 years |
| Escrow (money held by a neutral third party until the deal closes) | Standard on Empire Flippers and FE International |
Earnouts — where part of your payment depends on the business hitting agreed revenue or growth targets after the sale — are common but risky for sellers. The new owner makes the product and marketing decisions, but those decisions affect what you get paid. If you can, push for a bigger payment up front and a smaller earnout.
Further reading: Micro SaaS Revenue Reality, Micro SaaS Pricing Models, Micro SaaS Churn Guide.