Could you sell your Skool and cash out? Here's the math

The idea of selling off your Skool isn't even on most founders' radar. But it should be.

What could your payout be? Buyers figure it as a multiple of NET revenue. The multiple depends on industry and business model.

Here's what I learned when I sold and exited my first paid community at around $40K MRR: Business buyers LOVE MRR-based businesses.

If you sold a restaurant, you'd get about 1-1.5X annual net revenue.

My community? Sold for 3X. Others in hotter niches than mine have sold at 7X and more!

Moral of the story: Track your NET INCOME. Multiply by 3 or 4. That's what you could likely get a buyer to hand you in a community sale. IF your community is set up to be an attractive asset to a buyer (yes, there are some specific moves to make, if you want to position your biz for sale).

When you do that math, do you find it's not enough of a payday to make selling worthwhile?

LOL yeah, that's what happened to me, when I was first approached about selling.

So I grew the business 50%. THEN I sold.

Need tips on ramping your Skool to a salable-asset size that would give you a life-changing payday?

Let's talk!

Or check out my Built to Sell mini-course here: https://www.skool.com/community-growth-academy/about

0 comments