In essence, we use marketplace dynamics and algorithmic recommendation software to more efficiently introduce interested Buyers and Sellers of companies who may not know each other.Sounds like a few of you have heard of us, let me explain who we are/what we do as well as correct a couple perceptions from some comments above.
We are primarily a self-serve platform where you build an "anonymous profile" of your company and our recommendation technology provides you with suggested corporate acquirers who are interested in your space. This is a free service. Hundreds of Buyers login to the platform on a weekly basis and look through the anonymous profiles, where they can request more information from an "anonymously" listed company. The owner of the company gets to approve or decline the request from the prospective Buyer. Again, this is an entirely free service, to get a list of potential Buyers in your space as well as receive inbound leads.
There is an optional premium level service where you can pay a monthly fee in order to "outbound" pitch Buyers who are in our network. These fees are $99 and $499 per month, depending on the number of Buyers you want to reach out to.
The primary business model is a success fee, the greater of: 1% of the transaction, or $20,000 per person (if an acqui-hire), the fee is paid by the Buyer.
By the numbers:
Over the past three years Exitround has completed over 70 successful M&A deals. Deal sizes have ranged from $100,000 to $85,000,000, with the majority falling below $15,000,000.
There are over 4,000 companies selling on the platform today which range from the smallest being two people with a product and no revenue, to the largest being an enterprise software company doing $50,000,000 in revenue with a positive 12% EBITDA.
There are over 30,000 active Buyers in the Exitround network, a large portion of who are "non-traditional" Buyers outside of the typical technology space, such as Red Bull, Live Nation, Fender, Westfield, to name a very small sample. (Here's an article relating to such: businessinsider.com/the-year-of-the-tiny-tech-acquisition-2015-1
) These Buyers both proactively search, and are prompted to come in a view companies when there are Sellers that fit their specific areas of interest.
For Sellers on the platform, 2/3 of sellers receive at least one request from a potential buyer - note 1/3 of companies receive no interest from Buyers. Of the companies that do receive at least one request, on average they receive 2.7 (or nearly 3) requests from an interested Buyer.
For more general information about M&A check out our blog exitround.com