You want to sell your platform? Then it's good to know what the platform acquisition market looks like. Social commerce is the future of shopping. And platforms are the medium on which this can take place. Demand is high, but so is competition, leading to big challenges for platform owners.
The online world is booming.
There are many ways to value a business. A common method of expressing the value of a business is "a factor x gross annual profit." This factor is also called multiple and another designation for gross annual profit is EBITDA (Earnings Before Interest Taxes Depreciation and Amortization).
In the IT services and software development sector - to which a platforms belongs - an indicative EBITDA multiple range of 5.9 to 7.2 is currently used, according to the Brookz Takeover Barometer. The average EBITDA multiple across all SME sectors is 4.90.
The valuation of a business is often the starting point for negotiations between buyer and seller. The outcome of these negotiations is the final sales price. So valuation and price are two different quantities. Besides valuation, the price is also determined by possible scarcity in the market, bargaining power of the parties, the strategic value of the business for the buyer and possible synergy effects for the buyer (cost savings, purchasing advantages).
Do the calculationWant to buy a business or sell a business in the IT Services & Software Development sector? With this Brookz Sector Monitor, we want to present buyers and sellers with facts, figures and an outlook that provide insight into the number of transactions, the value development of businesses and the latest trends and developments in the IT Services & Software Development sector. Because in any buying or selling process, thorough preparation provides peace of mind, overview and structure.
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There are many self-employed people working in this sector. And therefore, relatively many businesses are made up of only one employed person.
In figures, the number of platforms in 2024 looked as follows (CBS):
With this online training from Brookz you are optimally prepared to largely sell your business yourself: 25 Powerpoint videos, a comprehensive valuation report, legal model contracts, handy templates, checklists and expert support. Plus 50% discount on listing your business on Brookz!
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A number of trends and developments will inevitably cause changes in the coming years, but also offer platforms many growth and acquisition opportunities:
TikTok has more than 1 billion monthly active users worldwide and this number is still growing. This platform mainly attracts the younger generations, who sometimes spend as much as 1.5 hours a day on this platform. Businesses can reach this target group by creating their own accounts and advertising on this platform. For platforms, this is a textbook example of success. Know your audience and conquer the world.
Selling products and services from your platform is the replacement of a physical store. 73% of businesses are already finding their way into social commerce, but 79% of other businesses are expected to make this transition within now and 3 years.
Even though digitalization offers much more automated possibilities, people still expect a personal approach. In their information search and purchase process, but also in complaint handling. According to Microsoft, 54% of customers had a more positive opinion of businesses that responded to complaints or customer service requests via social media.