Case Study: SaaS in B2B Niche

How to acquire a B2B SaaS business with pre-approved financing 

February 22, 2022
Case Study

Today we bring you a case study that perfectly represents what we do: helping entrepreneurs to acquire the business that best suits their needs, offering them flexible and revenue-based financing. But not only that. We also work with brokers to pre-qualify their listings for financing, thus increasing the chances of finding the perfect buyer and closing the deal in the shortest possible time.

Let’s start with some important metrics about this case study.

5 Metrics of this Success Story

  • SaaS Business that qualifies for up to 575k of financing >>> 80% of the acquisition price. 
  • This business sale process became more competitive with our financing, getting up to 3 buyers interested in it.
  • These 3 potential buyers were introduced by Boopos to the Broker.
  • The deal was closed in less than 45 days >>> This type of operation usually lasts up to 3 months.
  • We worked hard to meet the buyer’s deadlines and we did it.

Do you want to know more about this success story? 

What made it happen?

We worked with the broker FE International to pre-qualify a SaaS business with great growth options.

FE International presented us with an established B2B SaaS business in the data backup and recovery niche with 6 years of operational history, generating $200K of yearly profit with net margins of c.68% over the LTM. After analysis, the deal became qualified with a financing amount of $575K, almost 80% of the acquisition. Our strong understanding of SaaS business models allowed quick decision-making.

Additionally, we provide them access to a lot of buyers who otherwise don’t have the ability to raise financing on their own.

"Their underwriting process is quick and doesn’t disrupt the due diligence process, nor slow down the deal, which tends to happen more often in SBA deals". FE International

The business’ features made it so attractive for buyers:

  • Unique solution allowing integration with own storage servers such as Amazon S3, Dropbox or Google Drive,
  • growth possibilities due to the demand for database backup solutions,
  • and simplicity in running business management with the current owner spending only a few hours per week to maintain.

The next challenge was looking for a buyer who wants to acquire a SaaS Business with pre-approved financing.  

 Financing For Medium-Sized Transactions

And we did. We found a buyer interested in this business with pre-approved financing. We met a buyer with a specific problem: financing for medium-sized transactions. How to finance this type of acquisition? When deals are large, they always turn to investors and when they are small, they can do it with their own money...

Colin got the business with 80% of financing making the transaction possible. And everything in a short period of time.  

“Flawless, quick and easy work, good people, and best financing terms. Boopos made the financing the least stressful part of the acquisition. They were super responsive and got our deal done on a tight schedule. We couldn't ask for better partners.”. Colin Keeley, Co-Founder, Verne.