By Christine McDannell
M&A Advisor Founder of the AI Implementation Club
Most digital agencies I see for sale have the same problem. It's the one buyers walk away from. This one doesn't have it.
The problem is project revenue. Every month starts back at zero. Buyers can't pay a real multiple for income they have to go win again next month.
Why Retainer Revenue Changes the Math
A fully remote CRO agency just listed, 19 years in business, and roughly 90% of revenue is a managed monthly retainer.
Very profitable. Both founders take home executive-level salaries. Maybe time to quit your corporate job.
Clients stick around, too. Low churn.
The Numbers Behind the Listing
$1.9M in revenue. $548K in seller cash flow. Asking $1.7M.
And there's upside built in. Existing retainers average just over $10K a month. New ones are being signed near $12K. Understanding why owner dependence cuts your exit value matters here, and this agency has built itself to run without the founders in the day-to-day.
Retainer Revenue Is What Buyers Actually Pay For
Offers are due October 14.
When you're evaluating an agency acquisition, the revenue model is everything. Project-based shops require the new owner to keep selling just to maintain the topline. Retainer-based businesses let you focus on delivery and growth instead of constantly chasing new contracts.
This listing represents what serious buyers look for: predictable income, low churn, and room to grow the average deal size. If you're thinking about leaving corporate for ownership, this is the structure that makes it work.