The business discussed operates primarily in web hosting, with a small number of clients in pay-per-click (PPC) and search engine optimization (SEO) services. The clientele comprises hundreds of customers, 95% of whom are web hosting clients with room for service expansion. A full-time developer based in the Philippines handles 40 hours of work monthly, available for any tasks beyond the owner's capabilities. A PPC manager, also in the Philippines, oversees the few PPC clients, with the owner responsible for advisory and service charges. The business guarantees monthly recurring income from the start.
Operationally, proficiency in WordPress or Wix will simplify management tasks, which are coordinated through Trello or any preferred platform. Major technical tasks can be assigned to the developer. Most customers, 99%, are based in South Africa, necessitating a South African bank account or the implementation of an auto-billing system. Financial management needs to adapt currency discrepancies in Xero and Flippa due to billing in South African Rand (ZAR). Average monthly income is approximately 50,000 ZAR (~$2,600 USD), with expenses around 13,000 ZAR (~$700 USD), resulting in a monthly profit of 37,000 ZAR (~$1,900 USD).
While some customer interactions can be challenging, previous issues have been mitigated by a recent price increase. The current operator is willing to remain involved for several months to ensure a seamless transition for any new owner.
Flippa’s platform is free for buyers. Here are our tips for first-time buyers:
Before making an offer
1. Look for verified sellers. Sellers should verify their email, phone, and government ID. When a seller has completed all verifications, we identify them with a checkmark like this:
2. Review financials. Financials are seller-provided inputs. Always ask for verified financials. Ask for a tax return or request access to their dashboard. if it’s an ecommerce store get a transaction report.
3. Review traffic. Sellers can grant you access to Google Analytics. Ask for read-only access to verify site traffic.
4. Schedule a call. Communication is key. The best way to find out more is to speak directly with the seller. For your protection, keep all communication within Flippa.
5. Make the offer on Flippa. We’re here to help. Flippa does not charge buyers and by making an offer on Flippa you’ll get access to our post-sales support team.
1. Agreements & Contracts.
Connect with a US-based lawyer or purchase asset-specific template legal documents via Flippa Legal.
2. Conduct Due Diligence.
You can conduct this yourself or use our trusted network of industry-leading due diligence partners. They can provide in-depth analysis, identify hidden risks, and independently assess the value of the business. Learn More