Flippa
For Sale

Private Listing

Business Model
Advertising
Industry
Education

$1,600,000

Asking Price

Facts and Figures

Location
United States
Date of Founding
2011
Full-Time Staff
-
Avg. Expenses /month
$39,244
Avg. Revenue /month
$58,976

Business Description

Company is an online and in-print publication celebrating new and emerging writers. We are on the lookout for the best talent with hopes of publishing stories from writers who become popular authors

The Company operates four (4) websites dedicated to the elevation of amateur writers from aspiring to the path towards publication. Company has a history of strong, dedicated readership, exceptional growth, and leadership in the field of literary journals.

Each website is updated consistently with new fiction or poetry, interviews, articles, notes from editors, commentary, blog content, winner updates, lists of upcoming submission opportunities, writing craft articles, etc. All of this content is either written or procured by the three editors listed above. A cursory view of the above websites will show you the quality of content put forth each week

Each website runs approximately 4-6 contests / awards a year. This is the main revenue source for the business. Each award supplies aspiring writers with what we call the “Three P’s”: Prize, Prestige, and Publication. Each piece is critical in any writer becoming a represented writer on the way to a career in writing.

Business Model

90% of revenue above is via contest/award revenue. 8% online workshop, 2% book sales. No revenue is derived from advertising.

Operations

Products/Services

4 websites each running 4-6 awards / contests per year
One online literary workshop / year (may be expanded)
One printed anthology per year, sold via website.

Marketing

Newsletter: ~200K Fiction list, ~200K Poetry (400K total) goes out 1-2X / month
Open Rate and Click Rate 50% - 100% above industry average (according to MailChimp)
Primary sources of marketing spend: Facebook, Submittable, Industry Magazines (Poets & Writers, Winning Writers, The Writer, Paris Review, New Pages)
65-75% traffic visitation new visitor month over month
USA – 70% of Visitation, Top Cities: New York, London, LA, Chicago, Washington
Advertising revenue void is obvious lowest-lying fruit for expansion

Key Management and Employees

Staff:
* Single owner and Head of Operations
* Two (2) Full-Time employees via a leased-employee company (thus, they do not appear on the Single-Member LLC as employees.
* Three (3) independent contractors who are the editors of the websites listed in Summary.
* Readers enrolled in MFA programs throughout the country.

Main operations are located in USA where owner and two full-time employees work and reside. Office location is at a co-working facility. Owner and employees currently meet 2-3 times / week in the mornings.

Three independent managing editors are located in other cities.

Customers

Emerging and established writers who are aspiring to go from amateur, unsigned (agent represented) authors to the hopes of making writing their primary career.

Highlights

Strengths

  • Uniquely positioned in the market as a non-university operated platform for writers. In other words, it is operated full-time, not as a part of a curriculum, and designed to operate as a profitable business.
  • Owner has first-hand knowledge of building relevant software firms. Was 50% owner of a bootstrapped business sold to Fortune 1000 member, Thomson Reuters.
  • Owner worked for the company that runs the submission platform for all websites, a company called Submittable, from 2016 – 2017 (18 months).
  • Business was properly capitalized at origin to be able to attract submissions due to credible judging and high capital cash awards.
  • Newsletter of over four hundred thousand (400,000) members, approximately evenly split between fiction and poetry individuals
  • Consistent, three digit percentage growth over the last four years.
  • Website growth via visitation numbers, over 75% unique visitor suggestive of growing and diverse readership
  • Zero known legal claims, or evidence of liability. All published work requires signed contracts

Opportunities

  • Owner does not have a deep knowledge of the literary landscape in order to spot upcoming trends (relies on editors)
  • Company is green in the mode of monetizing an audience and community via advertising
  • Over 9/10ths of revenue is derived through the same theme of contests and awards
  • Recently launched a photography website with the same ideology for photo. With the ease and popularity of photo and video, company is making headway into this space. First contest ended September 30,
  • Expected 2019 revenue: 1MM – 1.5MM through a combination of existing revenue model in literature, application of this model to photography
  • A rational application of advertising, or paid content, to 400K newsletter followers could yield higher.

Competitive Overview

There are approximately 200-300 literary journals in existence.
Each of the 4 literary websites operated by company currently fall in the top 10 in revenue

Assets

  • Customer Database
  • Web assets. Books, fixtures, and equipment have a fair market value of $10,000. Inventory to be included in sale.
  • Company, a Nevada LLC with all shares held by the owner.

About the Seller

Private Seller

Jeff C

United states

A single member who has a history of M&A and entrepreneurial success. Their last exit was a bootstrapped company to a Fortune 1000 firm.

Contact Seller