Medical billing software with recurring revenue.

Contact Seller
Asking Price:
$17,300,000

Gross Revenue:
$3,206,997
Cash Flow:
$2,299,439
EBITDA:
$2,126,223
Inventory:
 Not Disclosed

FF&E:
 Not Disclosed
included in asking price

Real Estate:
 Not Disclosed

Share this business:

Business Description

This company, founded in 1988, is a developer of a recurring revenue business model medical billing software used by the behavioral health industry.

This business is truly turn-key with strong, stable, long-term staff in place. After the first two months of on-boarding a new client there is a very low level of ongoing staff time required beyond customization (which is billed for), and software updates. The software lease fees become a source of monthly recurring revenue.

This software is used in client clinics in 30 states and includes some larger healthcare systems that appreciate its enterprise-level functionality. There's a low level of client churn (less than 11% from 2010-present), and it has attracted, on average, six net new clients per year.

The company has experienced very high margins (EBITDA margin for the 12-months ending 7/31/17 was 66%), and produces high annual revenue per employee of $534,499, as well as $354,370 in EBITDA per employee.

About the Business

Year Established:
1988
Number of Employees:
6
Relocatable:
Yes
Facilities:
This business is operated virtually with staff members throughout the country. The vast majority of client interactions are online and by phone.
Market Outlook/
Competition:
While medical billing software is a competitive field, this business has long-term satisfied clients and has enjoyed significant year-over-year net client gains without marketing the business. Clients appreciate the sole Behavioral Health focus, its enterprise level functionality, and that it can integrate well with other software systems.
Growth & Expansion:
Growth and expansion opportunities include: 1, initiate an active sales and marketing campaign - virtually no marketing or advertising has been done in the past; 2, increase prices - this business' monthly pricing is similar to some competitors maintenance charges AFTER buying software; 3, continued revenue growth will lead to higher margins - this business can grow by about 25% without adding additional staff (its primary expense), so most of that revenue will drop to the bottom line; and 4, offer an out-sourced billing service.
Contact the Seller

About the Sale

Reason For Selling:
Preparing for retirement
Training/Support:
The owner is committed to a successful transition and willing stay on for 2-5 years.
Cash Flow Comments:
EBITDA: $1,695,740
Seller Financing:
N/A

Listing Info

ID:
1392270
Ad Detail Views:
4728

Attached Files Attachment Disclaimer

  dde5897c-26bf-4bfa-8d53-e55f1710... (556 KB)
Download



Contact the Seller
Please confirm you're not a robot
Contact the Seller
Business Listed by

Eric Williams

Codiligent LLC
License# 200309075

 Show Phone Number

View My Active Listings

Similar Listings


Report an Issue The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms & Conditions.