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6 comments
Mods: This is now becoming spam. The same site was posted a day ago at https://news.ycombinator.com/item?id=21796088 and now it's posted here with a different link and title (the news is different, but I doubt if it warrants another discussion right now).
I thought about sharing the offer that i got which doesnt happen every day or to every microstartup. Its not my intention to spam or anything.
Unlike IndieHackers and Product Hunt, Hacker News is on the more conservative side of content spam.
If there is an acquisition, that's more worthy of a second post.
If there is an acquisition, that's more worthy of a second post.
Agreed - have seen at least 2 of these in the last couple of days, this is ridiculous.
After my Visa List launch on ProductHunt, i posted a gist of my journey on Reddit and what do you know, i got a message from a some guy who said he was willing to buy Visa List for $100K.
This is not the first time i got an offer to sell Visa List, in fact i think this is the 7th time in a year. It made me think what is actually the value of Visa List and how can i decide that irrespective of whether i want to sell or not. So i did some math based on Visa List stats
- MAU : 310K
- Monthly Page Views : 650K
- Monthly Revenue : $5,000
- Growth Rate: 10%
- Yearly Revenue w/o Growth: $60,000
- Yearly Revenue w/ Growth: $106,921
Selling for $10000 would mean a loss of $6000 on the face of it but you are actually losing a lot more revenue. Usually you have to consider the lifetime value, let's say you 5 years, you can potentially make $0.5M or may be more so you are actually losing a lot.
On the other hand cash flow is more risky and there is no guarantee if it will actually survive for that long and keep the growth rate. Having said that, these acquisition offers rarely close, so 95% of the time someone is just wasting yours and their time at the same time.
I'm not saying you shouldn't sell, you can if you need cash very badly and/or you don't believe in your microstartup very strongly. No shame in admitting that, not every idea can be successful. I have more than 10 ideas didn't see the light of the day.
I believe in Visa List and wouldn't sell it for money any day but thats just me. What do you guys think?
This is not the first time i got an offer to sell Visa List, in fact i think this is the 7th time in a year. It made me think what is actually the value of Visa List and how can i decide that irrespective of whether i want to sell or not. So i did some math based on Visa List stats
- MAU : 310K
- Monthly Page Views : 650K
- Monthly Revenue : $5,000
- Growth Rate: 10%
- Yearly Revenue w/o Growth: $60,000
- Yearly Revenue w/ Growth: $106,921
Selling for $10000 would mean a loss of $6000 on the face of it but you are actually losing a lot more revenue. Usually you have to consider the lifetime value, let's say you 5 years, you can potentially make $0.5M or may be more so you are actually losing a lot.
On the other hand cash flow is more risky and there is no guarantee if it will actually survive for that long and keep the growth rate. Having said that, these acquisition offers rarely close, so 95% of the time someone is just wasting yours and their time at the same time.
I'm not saying you shouldn't sell, you can if you need cash very badly and/or you don't believe in your microstartup very strongly. No shame in admitting that, not every idea can be successful. I have more than 10 ideas didn't see the light of the day.
I believe in Visa List and wouldn't sell it for money any day but thats just me. What do you guys think?
First, congrats! It's rare to have a project be successful so quickly. IMO though, you got a low offer. If I recall from your Reddit post, your MRR had been climbing pretty substantially over the last several months. I'm not sure of your jurisdiction, but after taxes, you'll likely net $60k, which seems low for the kind of app you described, especially with your recent partnerships. But either way it all comes down to your interest in scaling and willingness to invest the time to keep it going.