Flippa Financing announcement

Flippa Financing announcement

This month Flippa has again demonstrated a commitment to building out a frictionless sales experience with the world’s largest network of buyers. Did you know that 4250 new verified buyers join Flippa each month?

Funding a small business is hard, but we’re here to help you get it right. With our new Guidant Financial partnership, financing solutions like 401(k) business financing and SBA loans, you can acquire a business quickly and smoothly

Identifying the right financing for you can be complex and overwhelming. 80% of entrepreneurs and buyers are declined by their local bank, and it’s difficult to know where else to look.

Guidant is now powering Flippa Financing and their team of financing experts will guide you through a quick and easy process, explaining all your options to get the money you need to acquire your next business.

Flippa Financing. A quick, hassle-free path to small business ownership

Flippa’s buyer network is one of the world’s largest!  Our buyers tell us that buying a business is easier than starting one. We agree. We also understand that buying a business is not free of challenges.

As part of Flippa’s long-term commitment to building a frictionless sales experience, Flippa Financing represents the beginning of many network partnerships. Guidant Financial is a leading player in the US and we’re excited to offer our buying network easy access to their services.

Once a buyer offers to buy a business on Flippa.com, has verified its state and conducted extensive due diligence,  they may need to secure a business loan to pay for and/or grow it. The process of securing a business loan can certainly be daunting – it’s hard to know where to look, let alone what to look for!

So what exactly is an SBA Small Business Loan? An SBA Small Business Loan is essentially a loan with an attractive repayment term and low-interest rate. A great option for a buyer looking to buy or grow a business, resulting funds can be used to purchase real estate or other assets or otherwise provide working capital. Importantly, these loans do not come from the SBA. The SBA merely encourages the banks to lend to small business owners with preferable terms and multiple loan options. In exchange, they guarantee guarantees 75-85% of the loan for the bank in the event of default! An SBA Small Business Loan generally requires a 20-30% down payment.

And 401(k) Business Financing? Also known as Rollovers for Business Start-Ups or ROBS, 401(k) Business Financing is a unique, lesser-known financing solution which allows individuals to tap into their retirement funds tax – penalty and tax-free. An individual under 59 and a half can use their 401(k), IRA or another eligible retirement account as capital to buy a business, without incurring an early withdrawal fee! It’s commonly used by those who do not have cash on hand to outright purchase a business, fear going into debt or do not otherwise qualify for a business loan. It’s also a great opportunity for those who have $50,000 or more in their retirement fund and wish to diversify their investments. 401(k) Business Financing can also be used to fund the 20-30% down payment requirement of an SBA Small Business Loan.

Guidant Financial are ready and very well-equipped to help Flippa buyers buy and grow the business of their dreams! Their industry expert team can provide comprehensive information and advice to buyers on how both solutions works, the do’s and don’ts, annual requirements, advantages over other options, upkeep, can dispel myths and misconceptions and advise on the best providers.

Flippa Pricing Update – Reduced Listing Fee of $15

Flippa Pricing Update – Reduced Listing Fee of $15

This month Flippa has again demonstrated a commitment to building out a frictionless sales experience with the world’s largest network of buyers. Did you know that 4250 new verified buyers join Flippa each month?

Adding to our Quickbooks online integration launch last month we’ve added a new Google Analytics integration, Non-Disclosure Agreement functionality for higher value listings and free syndication to a network of partner sites.

 

Google Analytics Integration

With one-click connection to GA, business owners can now publish traffic data on their listing and in-turn assist buyers with verifying the health of a business.

How does it work?

 

Step 1

Simply choose to list your website or online business with Flippa, step through our simple listing builder and choose to connect your Google Analytics account. You’ll be asked whether you wish to connect your traffic data. When prompted, log in to GA and choose the account associated with your website.

Step 2

Once you have connected and launched your listing, a pop-up box will be visible to buyers that your business has connected your site traffic from GA. 

 

 

There will also be a table displaying your websites monthly page views and number of users to the site. 

 

Non Disclosure Agreement for Higher Value Listings

High-value listings can now protect sensitive information with a simple to use Non-Disclosure Agreement.

 

Buyers that want access to key confidential data, like your business name or profit & loss statement will now have to register as buyers, create a profile, go through Identity Verification, accept the NDA terms and finally, identify why they are interested in your business. This replaces the old NDA functionality on Flippa.

 

Free Syndication

Flippa will now syndicate your listing to multiple directory businesses for free. Simply ask your account manager. This is available for listings over $50,000 only.

 

So what is the new pricing scheme?

It’s simple. You pay a listing and a success fee. The listing fee is due on all listings and the success fee is payable when you sell.

 

All listings, regardless of type, size or location, are charged at a $15 per month listing fee. While we are the only true marketplace and platform to buy and sell a business this also makes Flippa less expensive than the mainstream directory websites.

Of course, you can choose to cancel your listing at anytime.

As it relates to Success Fees. These are payable by the seller or designated owner of the account. These fees are now variable and are based on your final selling price. For further detail, refer to success fees

 

The breakdown:

If you sell a website, domain, app or business between $1m to $5m your success fee is now 5%

If you sell a website, domain, app or business between $500k to $1m your success fee is now 7.5%

If you sell a website, domain, app or business between $1 to $499k your success fee remains at 10%

 

Finally, Flippa also partners with a network of brokers. Instead of owning the sales process yourself and working with a Flippa account manager, you can choose to work with one of our network of partners. These brokers will manage the sale for you and you will still get the benefit of the Flippa platform and the world’s largest network of buyers. If you do choose to partner with a broker the success fee is 15%. This is shared between Flippa and the broker.

 

We currently do not charge buyers for use of Flippa.

 

We are committed to building out a frictionless sales experience and we think we are making good ground. That said, we are always looking for feedback so if you require clarification or would like to provide feedback feel free to get us on [email protected].

 

QuickBooks Online is now integrated with Flippa

QuickBooks Online is now integrated with Flippa

With Flippa you can now connect your financial data. This can be done by uploading documentation or effective immediately, customers of QuickBooks can ‘one-click’ connect. Assuming your business is in a good operational state, there are two main determinants to a sale – price and financial health. As it relates to financial health, this is about giving a prospective buyer comfort in what they are acquiring. Think of it like buying a used car — one wouldn’t spend the money without first looking under the hood, viewing accident and incident reports, and taking it for a test drive. Viewing your financial data is analogous to taking a car out for a test drive.

Quickbooks is one of the leaders in this space and we are delighted to announce our integration. With this service, Flippa is making it easier to list and faster to sell.

 

So, how does it work?

 

  1. Start Selling with Flippa
  2. Merchandise your business
  3. Look out for the Quickbooks connection

 

Once you have connected the following will auto-populate:

  • Annualized Revenue and Cost data
  • Prior 3-month performance as a means to assess your current state of operation
  • A P&L covering the prior 12 month period

 

Why is Flippa doing this?


It’s quite simply the most important verification point when considering a business’s value. We know that businesses with access to verifiable financial records sell faster and are more trusted.

Flippa’s integration with Cloud accounting software is an industry first. Buyers can now benefit from increased transparency into financial verification to assess the performance and viability of a business prior to engaging in conversation with sellers. With this integration, sellers can now connect and reveal their financial information to buyers much faster, with less work.

Check out the video tutorial below for more information.

 

Update to asset and business definitions on Flippa

Update to asset and business definitions on Flippa

At Flippa we are continuing to evolve our platform and seek to improve the experience for both buyers and sellers. Over the last month, we have changed the definitions of an asset and business on our website. Below we will explain the changes and showcase Flippa’s updated and more detailed pricing model, which outlines exactly what each service has to offer.

Pricing your Asset

Asset listings are priced at $25. This has not changed. The Flippa Success Fees, where you successfully sell your asset, are 10%. This has not changed.

So what are the changes?

From February 1, starter sites and apps have a maximum reserve – your reserve cannot be greater than $50,000. You also will not be able to set a minimum offer requirement of greater than $50,000 and this will be the Buy it now limit. This does not relate to domains. Domains can be priced at any amount.

Why? Buyers have become increasingly frustrated with unrealistic price points. Ultimately, anything with strong traction should really be listed as a business rather than an asset.

The pricing matrix which appears on the Flippa homepage and throughout the onboarding process clearly explains the key differences.

If you do have additional questions please direct enquiries to [email protected].

 

Listing your Business

Broker Matching requirements

Flippa have lowered the minimum annual gross profit amount that your business needs to qualify for broker matching from $200,000 to $100,000.

Dedicated Account Management

Both self-service for selling your business and broker matching now include a dedicated account manager. The account manager will be on had to assist sellers throughout their journey.

Data Based Valuation Guidance

When listing your business we have provided data based valuation guidance. This feature utilises historical sales data to assist you to accurately price your business in a reasonable range. The feature is available and useable when listing your business.

We’re excited by the progress we’ve made in recent months. We are proud of our history as an asset and business marketplace and we will continue to evolve as we listen to feedback from both sellers and buyers. Our vision is now to service buyers and sellers of businesses globally by connecting all parties, key services, and facilitating the end-to-end business exchange in a trusted and efficient environment.