Tony Xu – Flippa https://flippa.com/blog Tue, 23 Jan 2024 08:03:19 +0000 en-AU hourly 1 https://wordpress.org/?v=6.4.3 https://flippa.com/blog/wp-content/uploads/2023/02/cropped-Frame-1053@2x-32x32.png Tony Xu – Flippa https://flippa.com/blog 32 32 Flippa Launches Newsletter Category as Newsletter Businesses Boom https://flippa.com/blog/newsletter-product-launch/ Tue, 23 Jan 2024 15:10:00 +0000 https://flippa.com/blog/?p=25637 In the ever-evolving landscape of online business and digital assets, Flippa, the #1 marketplace to buy and sell online businesses, is improving the way you trade digital assets with the launch of our newest category: Newsletters. We’ve recently introduced a new category to provide an enhanced selling experience for anyone looking to sell a newsletter, or acquire one.

To celebrate the launch, for a limited time Flippa is offering FREE listings for all newsletters and our lowest success fees ever at just 2.5% when you sell. Find out more here.

If you’re looking to sell your newsletter, you can now share key metrics that specifically relate to newsletters including active subscribers numbers, open rates, click through rates, unsubscribe rates, revenue and more. 

Flippa supports any newsletter platform you use including Beehiv, Substack, Medium, Mailchimp and many others. Simply select the platform you use, choose the industry that best represents your newsletter and begin building your description.

Find out what your newsletter is worth here.

“It’s great to see Flippa promoting newsletter businesses as an asset class by creating a new category for them on the platform. This will give newsletter operators more options and liquidity.”

Richard Patey, expert in the world of alternative assets and monetizing them. Rochard has had seven successful exits including a content review site for six figures. Most recently, Richard has founded three newsletters, Digital Asset Investor newsletter, Letter Meta, and Media Assets, all of which he continues to run.

Biggest Newsletter Sales

Flippa’s entry into the newsletter market comes at a time when the demand for established newsletters is soaring. Here are three notable newsletter acquisitions that have made headlines:

The Hustle:

  • Acquired by Hubspot in 2021 for an estimated $25 to $30 Million, The Hustle, a daily business newsletter that grew to over 1.5 Million subscribers, as well as an estimated 5-8 Million annual website visitors. 

Morning Brew:

  • Estimated to be around $75 Million, the two co-founders of Morning Brew, both under 30, sold a majority stake to Insider Inc. Retaining a minority stake, The Morning Brew co-founders have an earn-out clause built into the deal, which encourages them to stay and grow the business long-term.

Milk Road:

  • When Milk Road, a crypto news newsletter, was acquired the newsletter had amassed 250K subscribers which they had grown to in just 10 months. Shaan Puri and Ben Levy grew the newsletter through targeted marketing and leveraging the crypto hype to sell for 8 figures

Want to find out more about selling your newsletter with Flippa? Read our guide on How To Sell Your Newsletter.

Biggest Newsletters by Subscribers

As businesses recognize the potential of newsletters, some have achieved remarkable subscriber numbers. The following newsletters stand out as prime examples of high-value digital assets as measured by the number of subscribers:

NYT’s The Morning:

  • With over 17 million subscribers, New York Times, The Morning is the most popular newsletter in the world. Providing daily briefing on global news The Morning also has an estimated 8 million paid subscribers. 

The Skim:

  • TheSkim provides a daily roundup of current events with over 7 million subscribers. Started in 2012 by Danielle Weisberg and Carly Zakin who left their jobs as news producers for NBC, after four years they raised $8 million in series B funds, followed by an additional round of funding in 2018 raising $12 million.

1440:

  •  1440 is a 5-minute daily newsletter with over 3.2 million subscribers, sharing news from experts in their fields. Earning the majority of its money from advertising and paid-subscriptions, 1440 has also explored other sources of revenue including events and webinars, content licensing, and affiliate marketing.  

Flippa’s strategic move into the newsletter market reflects the platform’s commitment to staying ahead of digital trends. As businesses continue to recognize the value of newsletters in connecting with audiences, the newsletter category on Flippa is poised to become a thriving marketplace for buying and selling digital assets. Whether you’re an aspiring newsletter entrepreneur or a seasoned investor, the newsletter category on Flippa opens up exciting opportunities to explore the dynamic world of email marketing and digital communication.

Learn more and find out what your newsletter is worth here.

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Flippa’s First Access Subscription: A Seller’s Guide to Benefits and Probability of Sale https://flippa.com/blog/first-access-sellers-guide-to-benefits/ Fri, 07 Jul 2023 06:33:16 +0000 https://flippa.com/blog/?p=21764 On July 4th, Flippa launched First Access, a new premium buyer subscription as we look to enhance both the buyer and business owner (seller) experience on Flippa.

Who does this impact? The subscription impacts business and asset owners who are asking between $10,000 and $10 million only. Asset owners selling assets under $10,000 have not been impacted by the change.

Did you know that the average listing on Flippa receives more than 50 enquiries? This is a lot and can sometimes be overwhelming. Accordingly, the First Access product is designed to enhance your experience as a seller by segmenting your campaign into two distinct periods, first access and all access.

The product provides paying buyers with an exclusive preview of deals before they go live on the platform. While some sellers may express concerns about this feature potentially reducing their initial access to buyers, it is important to understand the overall benefits this subscription offers and how it does not change the probability of sale.

This guide aims to outline the advantages for sellers and clarify why First Access can be a valuable tool in maximizing the potential of your assets.

The Benefits of First Access

1. Enhanced Visibility to Quality Buyers

By granting First Access subscribers an early look at deals, sellers gain the advantage of showcasing their assets to a group of committed and serious buyers. These buyers have chosen to invest in the subscription (or have a strong purchasing history), indicating their intent to actively seek valuable opportunities. As a seller, this means your assets are exposed to a targeted audience of motivated buyers who are more likely to make a purchase.

2. Increased Competition and Higher Bids

First Access creates a sense of exclusivity and urgency among buyers. When a limited number of buyers gain access to a deal before it goes live, they may be more inclined to make competitive offers to secure the asset. This can potentially drive up the bidding competition, resulting in higher sale prices for sellers. The increased competition among serious buyers can be a significant advantage for sellers looking to maximize the value of their assets.

3. Efficient Sales Process

The early exposure to First Access subscribers streamlines the sales process for sellers. Instead of waiting for deals to go live and then engaging with potential buyers, sellers can connect with interested parties during the preview phase. This allows for early negotiations, discussions, and potentially faster transactions. By connecting with committed buyers upfront, sellers can save time and energy by focusing on the most promising leads.

4. No Change in Probability of Sale

One concern some sellers may have is that offering First Access to buyers will reduce their chances of selling their assets initially to a broader audience. However, it is important to note that First Access does not affect the probability of sale. Once the initial preview period ends, the assets are made available to the wider marketplace, including all potential buyers who did not have First Access. Flippa’s matching engine ensures the most relevant buyers regardless of status are made aware of your asset or business.

Flippa’s First Access subscription offers numerous benefits to sellers by providing increased visibility to quality buyers, fostering competition, and streamlining the sales process. While some sellers may worry about reduced access to buyers initially, it’s crucial to understand that First Access does not change the probability of sale. It is an additional tool that complements the existing marketplace, maximizing exposure to motivated buyers while still ensuring all potential buyers have a fair chance to participate in the purchasing process. Embracing First Access can ultimately lead to faster sales, higher bids, and a more efficient selling experience for Flippa sellers.

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Product Update: First Access Gives Buyers the Competitive Edge https://flippa.com/blog/product-update-first-access/ Thu, 06 Jul 2023 04:16:24 +0000 https://flippa.com/blog/?p=21749 Introducing First Access

Get deals 21 days before the rest.

We’re thrilled to introduce First Access, the ultimate subscription that gives you the competitive edge by providing exclusive access to new businesses on Flippa a full 21 days before anyone else.

With First Access, you’ll be at the forefront of the action, discovering, evaluating, and securing cash flow generating businesses before the wider market even gets a glimpse. Our in-depth analysis has revealed that an astounding 67% of Flippa businesses are snatched up by the buyers who get in first, those who look at a business within 21 days of it hitting the marketplace. By joining First Access, you’ll be among the elite few who can seize these opportunities swiftly.

Gain a Competitive Edge

Be the first to negotiate and get a head start on the competition. With 21-Day First Access, you’ll have the advantage of exploring the latest and most sought-after listings before anyone else. Don’t miss out on the chance to gain an upper hand in the fast-paced world of business acquisitions.

Skip the NDA Process

As a trusted premium buyer you’ll be able to view everything on our site including all search results and listings requiring NDAs – supercharge your outreach efficiency. On average, an NDA takes four days to get accepted. Get instant acceptance with First Access.

Get the Premium Buyer Badge

Stand out from the rest of the competition with a Premium Buyer badge. Looking at an on-market asset. Rise to the top and get preferential treatment. Missed the 21-day benefit…don’t worry, we’ve got your back. With your First Access Subscription you’ll proudly wear a premium buyer badge and stand out from the rest.

Plus, Exclusive Off Market Listing

Unlock a world of high-value opportunities not listed publicly in Flippa Search. With your First Access subscription, you’ll gain access to hidden gems that others can only dream of. Expand your options and increase your chances of finding the perfect business to acquire.

Act now to secure your exclusive First Access subscription and be at the forefront of the business acquisition game.

First Access is available at an introductory price of $99 p/month. Subscribe now to get ahead of the competition and unlock the potential for limitless success with First Access.

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Product Announcement: The First AI Recommendation Engine for the M&A Industry https://flippa.com/blog/product-announcement-the-first-ai-recommendation-engine-for-the-ma-industry/ Wed, 15 Mar 2023 01:44:09 +0000 https://flippa.com/blog/?p=20758 Flippa announces an AI powered recommender tool for matching buyers and businesses.

In recent years, the rapid growth of startups and mainstream adoption of digital business coupled with the large influx of acquisition entrepreneurs, funds and family offices has significantly and positively impacted the M&A universe. Despite increased deal making across the board the workflow and industry approach to deal making has been slow to adapt. Flippa has led industry change and this latest announcement – an AI powered recommender tool for matching buyers and businesses continues our innovative approach.

In the last two years, we’ve added market insights and deal benchmarking, a deal room, data integrations from 15 leading platforms, an off-market search offering and the addition of key services like due diligence and acquisition financing. This latest offering further streamlines deal making leading to more matches and deal efficiency. 

AI Can Lead to Greater Efficiency in the Initial Matching Process

In this dynamic and fast-paced environment, traditional methods of relying on professional networks and CRM’s are no longer sufficient. Business owners want greater efficiency in the process and the buy-side expects deal flow on tap. As a result, the role of new technologies, particularly Artificial Intelligence (AI), has become increasingly important in revolutionizing the way deals are done, particularly as it relates to the search for targets in a business acquisition or exit strategy.

In the M&A ecosystem, the foundation of success has historically relied on two key elements: a robust relationship network, and manually crafted company databases. 

The role of brokers and advisors in M&A was to use their networks to create opportunities and bring together the right people for potential deals. But how can they ensure the best match and ensure an exhaustive search, particularly as the universe of buyers continues to grow exponentially?

Last year, nearly 300,000 new buyers entered the Flippa ecosystem. To effectively analyze and understand this world, access to up-to-date mandates, intent and the processing of vast amounts of information is essential. This is where AI comes into play and what we have built here at Flippa; a tool that helps business owners, M&A advisors and brokers.

Building a Scalable Recommendation System

At Flippa, using cutting edge machine-learning, we have developed a system that matches our buyers with quality listings picked specifically for them by leveraging the latent (or hidden) intent of their actions and behaviour which informs their preference.

The AI relies on Graph Neural Networks (GNNs) to provide recommendations by allowing for multiple inputs. By identifying all the inputs (users, listings, search terms, etc) and connecting them via edges (viewed, watched, searched-for, acquired), a graph can be constructed which outlines the highly dimensional journey of a user.

This is a visual representation of how similar online businesses are to each other based on how prospective buyers interact with them.

After a significant amount of training, the model has begun to understand the intricate connections and interdependencies hidden within the seemingly endless network of edges and vertices – allowing us to surface recommendations to our users at an accuracy and scale not previously thought possible.

The solution is an effective scalable recommender engine where buyers will be matched algorithmically giving business owners, advisors and brokers a network of buyers at their fingertips. Just hit ‘Invite’ and the target acquirer will be notified of a relevant deal, expertly matched by the Flippa platform.

This is an example of a Flippa Deal Room showing buyers who have been algorithmically recommended for a particular business by Flippa’s recommendation engine.

For more information, read the post here from our lead data scientist, or check out the product announcement here.

This Effectively Answers the Question: “Who is Likely to Buy My Online Business?”

The power of AI lies in its ability to predict future behavior based on a set of examples. By creating a learning model through algorithms, AI can analyze new data and make predictions about future acquisitions and investments. The Flippa platform now provides a unique and comprehensive matching database on startups and SMEs from around the world. 

To book a demo and see how this matching tool may work for your business simply send an enquiry with details of your business or mandate to Deals@Flippa.com.

I would love to hear your thoughts on the Recommender Engine, flick me a note at product@flippa.com

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Pulse ’22: Global Product Launch https://flippa.com/blog/pulse-22-global-product-launch/ Mon, 17 Oct 2022 05:33:44 +0000 https://flippa.com/blog/?p=17822 Revolutionizing Online Business M&A – Buy Sell Raise Invest

At Pulse ‘22 Flippa revolutionized online business M&A with the launch of Flippa Invest, the Off-Market database, increased integrated and verified data, and much, much more.

Introducing:

Flippa Invest

The fastest and most efficient way to raise growth capital for your business AND invest in thriving online businesses.

Flippa Invest provides US based accredited investors with unique opportunities to invest in thriving, healthy and growing online businesses.

Learn More >

The Off-Market Database

We have mapped the world’s largest database of online businesses, giving you unprecedented access to greater deal flow.

Shortlist and engage us to help you connect and seal the deal. We are navigating, analyzing, and graphing the life cycle, ownership, transaction history, growth, and valuation of every online business in the world. You benefit!

Learn More >

Flippa Data

Connect and expose financial and operational strengths, and assess business quality easily with Flippa’s network of Integrations.

15 of the world’s leading financial, eCommerce and accounting platforms are now available. Buyers can now access more data to make informed acquisition decisions, and business owners can connect data showcasing the quality of their business.

Learn More >

Along with these huge category defining products, we also announced Crypto Payments, CRM Integrations for Brokers, Managed by Flippa, and a Referral & Influencer Program.

You can watch the entire announcement here.

Thoughts and feedback can be directed to product@flippa.com.

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https://www.youtube.com/embed/BnoDmda6iDc Introducing Market Insights on Flippa nonadult
Product Update: Market Insights & Indicators https://flippa.com/blog/market-insights/ Wed, 03 Aug 2022 13:00:23 +0000 https://flippa.com/blog/?p=15849 Introducing Market Insights & Indicators

Flippa Data Team delivers a new module for users

This August, Flippa will be giving users the information they need to make more informed decisions about deals with a brand new insights module. Buyers and sellers can now toggle seamlessly between performance and comparison data, directly from the listing page.

The purpose of the module is to provide both buyers and sellers with pricing information on, and easy access to similar assets which are currently live or were recently sold on Flippa, as well as invaluable, peer benchmarks for asset-specific performance metrics.

Watch our explainer video below for a summary or read on for more information.

See how an asset is priced compared to others on the marketplace, live or recently sold

Pricing information, namely the asking or reserve price of similar assets and their respective profit multiples is available to view in a graph or grid format.  You can toggle between the two.

Scatter plot view

The scatter plot graph format positions sold, and currently live assets on a scatterplot with the x-axis representing asking or reserve price and the y-axis representing profit multiple. You can hover over a marked asset to view the asset name, asset type, net profit p/mo, age, industry and price.

Grid or list view

The alternative grid view meanwhile lists out sold and currently live similar assets. In this view, you can preview and quickly scan information about a listed, or sold similar listing with ease. You can also filter the list by asking price, or profit multiple.  Currently live listed assets will appear by default ahead of recently sold.

If the assets displayed in the insights module don’t quite pique  your interest, you can simply hit ‘view similar listings’ to return to Flippa search.

Another great feature of this new module is the ability to view pricing information in your preferred currency.

View peer benchmarks for performance metrics

Flippa’s Data Team has worked behind the scenes to identify the performance metrics which matter for each of our main asset types. For example, average order value (AOV) or average profit multiple for eCommerce, churn rate or customer lifetime value (CLV) for SaaS or authority score or organic traffic volume for a blog or content site.

We’ve collected the data across our asset pool using performance metrics gleaned from third party integrations (like Shopify, WooCommerce, Stripe, SEMrush and Google Analytics) as well as publicly available information to give you peer benchmarks. This is a great way for buyers to see how their asset is performing compared to other similarly priced assets, and a useful tool for sellers to use when identifying what asset they’d like to purchase.

It’s important to note that the above feature relies on the use of third party integrations by sellers which means, if you’re a seller, it’s a great time to review your listing and ensure that you connect to as many third party integrations as possible. The more data we can gather, the better the insights we can provide now and into the future.

Flippa is constantly working to develop new ways for buyers and sellers to navigate our platform with ease, assess the digital asset and make better decisions about deals.

We hope you enjoy using our new Insights module and find it useful. Thoughts and feedback can be directed to product@flippa.com.

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https://www.youtube.com/embed/BnoDmda6iDc Introducing Market Insights on Flippa nonadult
Product Update – May 2022 https://flippa.com/blog/product-update-may-2022/ Fri, 27 May 2022 01:34:27 +0000 https://flippa.com/blog/?p=14286 What’s new and what’s coming? Check out the latest product updates below, as well as a few previews of what’s to come.

Personalized Home Page

Now Live

We have 3M users. Our vision is to have 3M personalized experiences. We’ve started with the homepage. 

With public and off market assets priced between $500 to $50M and sites, stores and apps from over 100 countries we think it’s time we gave you each a fresh new look. 

Our new personalized homepage shows you exactly what you’re looking for. Based on intent data, your profile and other factors the homepage will change with your preferences.


The feature is just one week old and we’ve seen a 25% increase in homepage CTR. More to come here.

If you haven’t set your buyer preferences now is the time!

Verified Listings

Now Live

Trusting a business’s data is the first step in finding an online business to acquire. And we’re taking trust and data verification to the next level. 

Vetted by Flippa

Trust and Safety is at the forefront of everything we do. With thousands of assets sold each month we continue to invest here.

We already have legal and due diligence services plus a team of 200 brokers from over 30 different firms on hand to help you get deals done. 

Now we’ve added an in-house verification team of analysts who are reviewing 1000’s of listings every month. They verify revenue and expenses and run rigorous checks on every seller. It must be working, we just recorded a record NPS of 85. #1 for a reason…

Look out for the Verified By badge on every listing.

It looks like this:

Data Verification 

Along with Flippa’s in-house team of experts verifying listings, we have integrated data partners that provide key business metrics straight from the source.

We’ve partnered with the leading technology companies and platforms to expose critical performance metrics. Our list of current partners includes Shopify, Stripe, WooCommerce, Quickbooks Online, Google Analytics, Admob, Adsense and SEMRush.  We’ve pulled the data so you don’t have to. Straight from the source, these are the metrics that matter.

Each business model is unique and Flippa will pull out the metrics that matter. For instance, Ecommerce listings will include Refund Rate and Average Order Value while a SaaS listing will include metrics like Monthly Recurring Revenue, Churn and Lifetime Value.

Learn More

Seamless Deal Negotiations

Coming Soon

We’re making Buyer and Seller communication seamless with our new Negotiation Hub. 

For Sellers

Sellers will be able to manage buyer negotiations, shortlist your preferred buyers, and archive the conversations that aren’t progressing. You’ll also be able to seamlessly jump between discussion threads. If you have a great listing for sale, you’ll have a lot of interested buyers and you’ll soon be able to easily manage multiple negotiations. 

For Buyers

Buyers will be able to act on a listing directly from within a discussion thread with a Seller. You’ll be able to create LOI’s, make an offer or place a bid, becomes more straightforward. Timing is everything. Acting quickly could be the difference between acquisition or missing out.

Flippa Insights

Coming Soon

Flippa has the largest database of sales history, performance data and pricing data for sites, stores and apps. We’ll make that accessible through the discovery process.

Flippa Insights will enable you to quickly benchmark the performance of any listed asset showing comparable listings, sold listings and peer benchmark information such as AOV and Return Rate, LTV or Churn, Downloads and MAU’s.

Our vision to enable a pathway to exit and empower business ownership depends on a community of buyers and sellers, makers and creators, business owners and acquisition entrepreneurs and our commitment to building a platform that allows you to transact safely and securely. 

If you have feedback on these features or any others feel, send us a note at Product@Flippa.com.

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Product Update – April 2022 https://flippa.com/blog/product-update-april/ Fri, 08 Apr 2022 05:26:24 +0000 https://flippa.com/blog/?p=11949 LOI Builder | Funds Verification | Deal Collaboration | Currency Converter

What’s new? It’s a jam-packed release with all Flippa customers gaining access to some exciting new features that will assist you in buying or selling an online business or digital asset.

We’ll step through each feature individually and talk through the benefits.

Embedded Letters of Intent (LOI)

Ready to do a deal. Easily submit an LOI.

Now Live

A letter of intent is often a critical step in buying and / or selling a digital asset or online business. It sets out the terms of the deal including price, deal structure and terms. It will often also talk about a due diligence period and then critically, the expected close date.

Fippa’s new embedded LOI feature is available on any listing with an asking price in excess of $25,000 and offers the option to:

Use the wizard to build an LOI

It’s simple. Choose an offer price, nominate a due diligence period, close date and

any deal terms. You can then submit the LOI for review. Sellers then have the opportunity to accept or reject and of course the LOI will be stored and time stamped. 

Upload your own

Alternatively, upload your own LOI. This is stored as a PDF on the platform but unlike the ‘wizard’ buyers and sellers will need to download, sign and re-upload.

Provide proof of funds with our new integrated funds verification

Click confirm and carry on to get preferred access to deals.

Release Date: Wednesday, April 13, 2022

We have the world’s largest buyer base and our business owners are receiving thousands of views and an average 102 enquiries. Accordingly, we are adding a funds verification requirement for all listings priced in excess of $250,000. The idea is that sellers meet more of the right buyers.

We’ve made it easy.

To verify, buyers can either use our provider Plaid (Plaid.com), which covers more than 11,000 banks and credit unions across the United States and Canada, to click, confirm and carry on OR you can verify manually with our marketplace integrity team.

The Plaid system allows you to connect bank accounts for an easy anonymised funds verification process and accordingly, gives you preferred access to listings within your budget.

Based on your funds verified amount, Flippa makes a determination on your purchasing power giving you instant access and one-click auto-accept on listings protected by Non-Disclosure Agreements (NDA).

List and price in your local currency

14 different currencies now supported by Flippa.

Release Date: Wednesday, April 13, 2022

13 years into our market leadership position and we have finally added multiple currency options to our platform. No longer do you have to convert your financials into USD. No longer do you have to set an asking price in USD. You can now list and price in one of 14 different currencies.

You can now list and price in one of 14 different currencies.

British seller? List and price in GBP.
European seller? List and price in EUR. 

Business owners can now list and price in any one of the following currencies: USD, AUD, GBP, EUR, CAD, ILS, NZD, SGD, HKD, JPY, USD, CHF, NOK, SEK

Add a third party to do deals quicker

The invite new member feature ensures other parties can contribute to a deal.

Release Date: Wednesday, April 30, 2022

Most deals are done between more than two parties. Sellers have business partners and lawyers. Buyers have financing partners and accountants. With Flippa’s new third party permissions feature you can add and remove parties to a deal at any time.

It’s simple. Look for the ‘Invite New Member’ feature within a discussion. Classify their role and await approval.

Our vision to enable a pathway to exit and empower business ownership depends on a community of buyers and sellers, makers and creators, business owners and acquisition entrepreneurs and our commitment to building a platform with the tools you need to get deals done.

If you have feedback on these features or any others feel, send us a note at Product@Flippa.com.

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Product Update: New Buyer Funds Verification https://flippa.com/blog/buyer-funds-verification/ Mon, 21 Mar 2022 05:20:40 +0000 https://flippa.com/blog/?p=11551 With our new buyer funds verification option, sellers will be able to quickly filter out the serious buyers, and buyers can speed up negotiations by pre-verifying their funds.

Flippa is dedicated to matching sellers with high quality listings, to acquisition-ready buyers.

With the largest pool of buyers globally, as a seller, how can you know which buyers are genuinely interested in acquiring your business? 

As a buyer, how do you stand out to sellers to show you’re serious about acquiring a listing? 

Buyer funds verification will help facilitate negotiations and match the best businesses with serious buyers.

How Does Buyer Fund Verification Work?

Buyers

As a buyer, once you verify your funds you’ll be able to engage with sellers listings where they have selected to only engage with funds verified buyers.

A buyer can verify their funds through their Account settings on Flippa. 

Go to your “Account Settings”, then select “Verification”.

Select “Start Verification” and you will be presented with two options through which to verify your funds:

  1. Verify Bank Account Balance
  2. Verify by Flippa Manually

Verify Bank Account Balance

If you select Verify Bank Account Balance, a Plaid integration will verify in real time your account balances and provide instant verification. This is only available to bank accounts in the US and Canada currently.

Manual Upload

If you choose Verify by Flippa Manually, you will be able to provide multiple documents that will allow Flippa staff to manually verify your funds. You must identify which documents you are providing and these can include:

  • Bank account statement
  • Stock portfolio
  • CPA letter
  • Home equity line of credit (HELOC)
  • SBA documentation
  • Cryptocurrency account/wallet statement
  • Retirement account
  • Other Available Credit Status

Verified Buyers

Once either Plaid verification or Flippa manual verification has been completed, the buyer will receive an email informing them of the funds verification. From there the buyer will be able to engage with any seller and their listings that require funds verification. 

The amount of verified funds is only able to be seen by the buyer themselves. 

Sellers

If you are a seller listing a business for an Asking Price of more than $250,000 USD, during the listing process, you will be presented with the option to only engage with buyers who have verified their funds.
When the Asking Price of a listing is set to higher than $250,000 USD, the Buyer Engagement step will appear, as below.

Here you will be asked if you ‘Would like to engage with funds verified buyers only?’ By ticking “Yes, engage with funds verified buyers only”, you’ll restrict engagement to only these types of buyers. 

Once your listing is live, only buyers who have verified their funds will be able to contact you. 

If a buyer has not verified their funds but would like to contact you about your listing, when they click on “Contact Seller”, they will be directed to verify funds. They will have verify their funds before they can engage with you.

FAQs

Buyers

What happens if the integrated Bank Account Balance Verification does not work or does not correctly verify my available funds?

If the integrated verification process does not work or you do not believe it accurately shows your available funds you can verify your funds manually through Flippa.

If I have multiple bank accounts, can these all be verified through the Plaid integration? 

Plaid does allow this to be an option but it depends on the bank provider. If your bank allows this option you will be able to choose multiple bank accounts.

How does Plaid store and use my information?

You can read Plaid’s Privacy Policies and Practices, and Terms and Conditions here.

Sellers

As a seller, will I potentially miss out on buyers who have not verified their funds but may still be interested in my listing?

Similarly to Flippa’s other verification tools, Buyer Funds Verification is designed to identify serious buyers and sellers. If a buyer is interested in acquiring your business it’s in their interest to verify their funds. However, if you feel requiring buyers to have their funds verified is reducing engagement in your listing, you can simply turn off this setting within the listing.

Can I set a limit on the minimum amount of verified funds needed for a buyer to engage with my listing?

No. As the seller you can only select if you want funds verified buyers to engage with your listing, you cannot select the amount of funds needed for a buyer to be verified for. Flippa sets the amount of verified funds needed for buyers to engage with listings, with buyers only allowed to engage with listings up to three times the size of the funds they have verified. 

If you have any questions about the new buyer funds verification feature, or would like help to set it up, you can contact our Support Team at support@flippa.com

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Introducing New Due Diligence Packages https://flippa.com/blog/introducing-new-due-diligence-packages/ https://flippa.com/blog/introducing-new-due-diligence-packages/#respond Sun, 13 Jun 2021 15:35:00 +0000 https://flippa.com/blog/introducing-new-due-diligence-packages/ Need Due Diligence? Flippa’s leading Due Diligence product used by brokers, buyers and advisors goes where most don’t. Not only does the DD Team do the usual verifications but they’ll unlock insights, reveal performance benchmarks and potential growth opportunities. 

It’s a deep-dive into operations, which reveals interesting insights, performance against benchmarks, and potential growth strategies for the new buyer.

Feedback on the service has been excellent so far, but we’ve heard from potential buyers that they’d like to see multiple package options which may better suit their needs.

So today, we are proud to announce new packages for our due diligence service.

Red Flag Report

The Red Flag Report focuses on identification of high-level risks and
opportunities, with presentation of limited financial and traffic information.

This report goes back 12 months. While the asking price for the business will be compared with prices for similar businesses (based on net profit multiple) verification of source financial documents (invoices, bank statements, etc.) is not performed.

Standard Report

The Standard Report is nearly identical to our original due diligence report. It focuses on detailed risks opportunities, with presentation of enhanced financial and traffic information.

This report goes back 24 months. Information provided by the Seller is checked with limited coverage against source documents (invoices, bank statements, etc.). The asking price will be compared with
prices for similar businesses based on net profit multiple.

Enhanced Report

The Enhanced Report is focused on identification of detailed risks and
opportunities with presentation of enhanced financial and traffic information.

This report goes back 36 months. Information provided by
the seller is checked with enhanced coverage against source documents
(invoices, bank statements, etc.).

The asking price is compared with prices for similar businesses based on net profit multiple, and compared to other business based on other relevant ratios (e.g. RPM, Monetization Efficiency, etc.)

This report also includes an overview of the industry and key trends.


We are always looking for ways to improve. If you have feedback or questions, please let us know at support@flippa.com.

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