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AI Enabled Software Development Agency | 36 Active Clients | $400K ARR | 7-Year Business | Seller Financing Available

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WebsiteClosers® presents an AI Enabled Software Development Agency that builds custom web apps, mobile apps, and practical AI tools for UK startups and growing SMEs. Since 2019, this agency has become a long-term build partner for clients who want premium work without big-agency pricing. The 36 clients active over the past 3 years have generated more than $3.3 million in lifetime revenue, and the business now has an estimated $400,000 in annual recurring revenue from monthly contracts and returning clients.

Seller Financing

Seller Financing is available for highly qualified buyers, offering an attractive opportunity to acquire an established business with potentially reduced upfront capital requirements. The owner is willing to consider a financing structure with a reasonable down payment and mutually agreeable repayment terms, subject to buyer qualifications and final negotiation. The financing terms will be evaluated based on the buyer’s financial qualifications, proposed transaction structure, and ability to operate and grow the business successfully.

Business Model

The business offers web and mobile app development, AI workflows and agents, automation, data engineering, and ongoing maintenance, with AI features growing the fastest. Most clients start with a fixed-price project of $20,000 to $66,500, sometimes up to $133,500, billed by milestone over 3 to 6 months. Many then move to rolling monthly contracts of $1,334 to $13,360 based on committed development days, and clients in expansion keep spending $26,700 to $93,500 a year. A proprietary starter framework speeds up every build, and the seller reports AI has cut development cost and time by up to 70% on certain projects, supporting operating margins of 20% to 40%. The company is now shifting toward pricing per deliverable, which earns more than billing for time.

Digital Marketing & Traffic

Customer acquisition is driven mainly by in-house paid search, backed by growing referrals, SDR-led cold email, and a B2B review platform. In 2025, about $54,000 in total marketing spend produced 220 leads, 7 new deals, and over $307,000 in first-contract value, a blended 565% ROI before any expansion work. Paid search alone returned 787%, with 1 in 4 leads closing, and cold email matched that close rate at a 303% ROI. After a September 2026 relaunch around AI and automation for SMEs, an automated blog lifted organic traffic by 215%, and AI chatbot referrals went from zero to 43. The site averages about 1,800 monthly visitors, and the contact database holds roughly 1,700 names.

Operations

Owner involvement is minimal. One owner has been advisory-only for almost a year, while the other spends about 20% to 40% of their time on larger closes and escalations. Roughly 15 full-time contractors make up the team, with delivery in Brazil and one salesperson in the UK. A seven-person leadership team of 3 tech leads, 2 project managers, a designer, and a Head of HR meets weekly to plan capacity and improve processes. Each client gets a weekly call with their project manager and can track roadmaps and bug reports in a shared workspace. There have been no incidents or data breaches, with admin access limited to leadership, vaulted credentials, and cyber insurance in place.

Growth Opportunities

Opportunities to scale are numerous, and the seller notes that lead volume is the main lever since close rates are already strong. A buyer could raise paid search spend with specialist support, add SDR capacity, increase cold email volume, and test paid social ads aimed at business owners. The US market is untapped. UK insurers only recently allowed US trade with cyber coverage intact, so a US-based buyer could start with geo-targeted campaigns and a new .com domain. Bigger moves include a forward deployed engineer placement service for US Series A to C startups, climbing from the first tier of a major cloud provider’s partner network to unlock client funding, and certifications in healthcare, financial services, and higher education, where competition is lighter.

Business Broker Takeaways

1. Optimized Operations. With a seven-person leadership team managing day-to-day operations, the company operates independently of its founders, enabling smooth, efficient management and scalability.

2. Simple to Run. A new owner mainly needs to manage client relationships, watch ad KPIs, review sales activity, and make budget calls. The business is cash-flow positive, though about 60 days of runway (around £40,000) is wise since payments arrive in large milestone installment.

3. AI-Powered Cost Advantage. AI tools, a South American-based team, and a reusable build framework let the agency take on more projects without adding headcount at the same pace, all while charging UK market rates.

Summary

This software development and AI services company offers a compelling acquisition opportunity for buyers seeking a well-established brand with a strong foundation and clear pathways for growth in both existing and new markets. With proven acquisition channels, rising organic traffic, and an open path into the US market, this business is well positioned for continued growth under new ownership.

This Company is Represented by:

WebsiteClosers.com
Technology, Internet & eCommerce Business Brokers

CODE NAME: Frog Leap
WC 4138

Asking Price
$ 400,000
Cash Flow
$ 118,032
Gross Income
$ 689,798
Year Established
2019
Employees
15

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