What multiple does a UK software business achieve?

It varies widely with recurring revenue quality, growth and churn. Rather than quote a range that may not apply to you, we benchmark your specific metrics against completed deals during your valuation conversation.

How technical is buyer diligence?

For product businesses, very. Expect questions on architecture, security, IP ownership and code quality. Preparing this material in advance keeps momentum and protects your negotiating position.

Sell a Technology or Software Business | UK

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Overview

What buyers look for in software & it.

Technology buyers underwrite retention. Annual recurring revenue, churn, expansion and gross margin matter more than a strong quarter, and diligence goes deep on all of them.

We prepare that picture with you, including the technical questions buyers ask about architecture, security and key-person risk, then run a confidential process to trade buyers and investors active in your niche.

Value drivers

Where the value actually sits.

Recurring revenue quality

Contracted, renewing revenue with low churn is the core of the valuation. Project income is worth less per pound.

Retention and expansion

Customers who stay and spend more each year justify the highest multiples in the sector.

Team and key-person risk

Documented systems and a team that can ship without the founder reduces perceived risk sharply.

Security and compliance

Clean security posture, data handling and certifications shorten diligence and prevent late renegotiation.

Who buys

Buyer appetite today.

Trade buyers acquire for product, customers and engineering talent. Private equity backs platforms with predictable recurring revenue, and MSP consolidation remains particularly active in the UK.

✓Software and MSP trade buyers acquiring product or customers
✓Private equity backed technology platforms
✓Management buy-out teams leading a transition
✓Overseas buyers entering the UK market

Before you go to market

Preparation that pays.

01
Report recurring revenue, churn and expansion consistently for at least twenty-four months.
02
Confirm IP assignment for every developer and contractor who has touched the codebase.
03
Review third-party licences, open-source usage and hosting commitments.
04
Document architecture and deployment so diligence does not stall on one engineer's knowledge.

Related deals

Businesses we have sold.

Technology

Developer of App-Based Games

A digital games studio completed via management buy-out, keeping leadership in place through transition.

Read the deal

E-commerce

E-Commerce Fashion Business

A digital fashion brand sold to a US trade buyer expanding their direct-to-consumer footprint internationally.