DropDAV is an 8 y/o SaaS business that connects servers to Dropbox for a monthly fee.
What is the product?
The product connects Dropbox to businesses IoT devices that don’t have first-party clients. For those of us who are unfamiliar with the Internet of Things (IoT), it includes a wide range of software and items but in this instance, mainly things like file servers and legacy devices. First-party clients imply that the business does not have an in-built provider to authorize credentials.
Essentially, Drop Dav safely connects businesses software or file servers to Dropbox, so that items can be stored safely and securely in the cloud.
What makes it such a good product?
DropDAV lets businesses and users connect their Dropbox flows deeper into their tools, allowing them to be more productive. The previous owner has not needed to invest in the product or carry out any upgrades since its inception in 2011. Since then, this simple but highly functional software has continued to work without any customer issues, creating a steady revenue stream for its owner.
DropDAV operates in a niche and it hasn’t had a credible competitor since 2012 when their direct competition closed down. This is due to the challenging nature of getting a WebDAV server implementation correct. Thus, DropDAV has been tuned for the most popular WebDAV clients and currently dominates this market.
DropDAV charges their customers $5 per month, making it a reasonable and easy purchase for customers to make.
Who is the DropDAV customer?
The DropDAV customer is a business or individual user who wishes to seamlessly connect their file servers to the cloud sharing platform, Dropbox.
Why was it so appealing to prospective buyers?
DropDAV has a history of being reliable, fast and secure. It has served almost 100,000 users 5,000,000+ requests, over 256-bit SSL and 10-Gbpsservice with 99.9+% uptime. It also works across multiple apps including many with custom implementations.
DropDav prices haven’t changed since it started in 2011, presenting an immediate opportunity to increase revenue by raising its prices. Despite the reasonable price point, it has been generating over $14,500 in annual profits.
How did Flippa assist?
Flippa now has over 120,000 registered buyers representing purchase intent of just under $1.2bn. This combined with marketing efforts meant that DropDAV was targeted at Flippa buyers looking to purchase a SaaS business below $50,000. DropDAV’s listing had over 1,260 views and the owner utilized Flippa’s escrow service which guarantees safe and secure payments.