Buying an existing mobile app is one of the fastest ways to enter digital entrepreneurship. Instead of spending 6–12 months and $40,000–$300,000+ building from scratch, you can acquire an app with real users, proven revenue, and validated product-market fit.

Valuation multiples have normalized since the 2022 bubble (9.92× profit) to more reasonable 2024–2025 levels (2.93× profit), creating opportunities for informed buyers.

Smartphone usage continues to grow, with 7.33 billion global users and downloads expected to reach 300 billion by 2026. However, only a small percentage of apps generate meaningful revenue — making proper evaluation essential.

Why Buying Beats Building From Scratch

Building an app requires:

  • 6–12 months of development
  • $40,000–$300,000+ in cost
  • Designers, developers, product managers
  • High risk: 77% of users abandon apps within 3 days; only 1% generate real revenue

Acquiring an app gives you:

  • Immediate revenue on day 1
  • A validated user base
  • Historical performance data
  • Existing rankings and reviews
  • A working codebase you can improve

Buying an existing app typically costs 40–60% less than building the same thing.

What Makes a Mobile App Worth Buying

1. Stable and diversified revenue

Look for:

  • Consistent month-to-month revenue
  • Multiple monetization streams: subscriptions, ads, IAPs, premium unlocks
  • $5,000+ predictable monthly revenue

2. Strong user engagement

Key metrics:

  • Retention: 80%+ after one month
  • DAU/MAU ratio: >20% = strong
  • Monthly churn: <5%
  • Frequent sessions and long session durations

3. Healthy unit economics

  • CLTV/CAC ≥ 3:1
  • Low acquisition costs
  • High lifetime value

4. Good technical foundation

  • Modern frameworks: Swift, Kotlin, React Native, Flutter
  • Maintainable code
  • Low technical debt
  • Full documentation

5. Proven track record

  • 2–3+ years of operation preferred
  • Consistent or growing metrics
  • Avoid apps with recent declines unless reversible

Where to Find Profitable Apps for Sale

AppWill

A dedicated marketplace specializing in profitable mobile apps.
Features:

  • 2,500+ verified listings
  • Verification of analytics (downloads, revenue, user metrics)
  • 50–50 split payment model for buyer protection
  • Free valuations
  • Personal managers assisting throughout the process

Other marketplaces

  • Flippa: Large volume, but requires more due diligence
  • Acquire.com: No buyer commissions; focused on startups
  • SellMyApp / Codester: Smaller apps and templates

Specialized marketplaces offer stronger vetting and fewer low-quality listings.

Evaluating an App Before Buying: Key Metrics

Revenue & Financial Metrics

Monthly Recurring Revenue (MRR)

Especially important for subscription apps.

Average Revenue Per User (ARPU)

Total monthly revenue ÷ active users.

Customer Lifetime Value (CLTV)

CLTV/CAC ratio should exceed 3:1.

Financial verification

Request:

  • 12–36 months of financials
  • Bank statements
  • Consistent patterns without unexplained fluctuations

User Engagement Metrics

DAU / MAU Ratio

Indicates daily engagement intensity.

Retention

Critical for long-term value:

  • 1-week retention
  • 1-month retention

Churn

  • <5% monthly is ideal

Behavior metrics

  • Session length
  • Frequency
  • Screens per session

Technical & Operational Assessment

Request:

  • Direct access to real dashboards (App Store Connect, Google Play Console, Firebase)
  • A professional code audit
  • Review of ratings, reviews, and policy compliance
  • Review of third-party dependencies and API risks

Due Diligence Checklist

Verify:

  • Financials
  • User metrics
  • Code quality
  • App store compliance
  • IP ownership
  • Documentation
  • Contracts and vendor relationships

Red flags:

  • Inconsistent numbers
  • Declining metrics
  • Urgent/rushed sellers
  • Unclear IP ownership
  • Major technical debt
  • Policy violations

Understanding App Valuations & Pricing

Market averages in 2024–2025:

  • Profit multiples: 2.93×
  • Revenue multiples: 2.52×

Valuation Methods

1. Revenue Multiple

Annual revenue × ~2.5×

2. EBITDA Multiple

Used for mature profitable apps: 3–6× EBITDA

3. Seller’s Discretionary Earnings (SDE)

Used for owner-operated apps.

4. User-Based Valuation

$5–$20 per MAU depending on quality.

Factors Increasing Valuation

  • Subscription model
  • High retention, low churn
  • Proprietary tech/IP
  • Low owner involvement (<10 hrs/week)

Factors Decreasing Valuation

  • Declining metrics
  • Outdated tech
  • Policy risks
  • High CAC
  • Single-point dependencies

Negotiation Strategies

  • Base negotiations on due diligence findings
  • Use earnout structures
  • Request seller financing (20–40% over 3–5 years)
  • Use third-party valuation data (e.g., AppWill free valuation)
  • Never rush due diligence

Acquisition Process (Step-by-Step)

1. Discovery & Initial Screening

  • Browse marketplaces
  • Request detailed app info
  • Validate seller transparency

2. Due Diligence

  • Verify analytics through direct access
  • Conduct code audit
  • Hire an attorney
  • Interview stakeholders if necessary

3. Negotiation & Agreement

  • Draft offers including price & terms
  • Define what’s included in the sale
  • Formalize an Asset Purchase Agreement

4. Transfer & Transition

  • 50–50 payment split (recommended)
  • Transfer source code
  • Transfer app store accounts
  • Transfer domains, social accounts, analytics, ads
  • 30–90 days of seller support

Growing Your Newly Acquired App

First 30 Days: Stabilize

  • Don’t make major changes
  • Learn the product
  • Communicate with users
  • Fix quick bugs
  • Implement analytics if missing

Months 2–3: Optimize Monetization

  • Test pricing
  • Improve onboarding
  • Reactivate lapsed users
  • Optimize app store listings

Months 4–6: Strategic Growth

  • Expand monetization paths
  • Scale paid user acquisition (if CLTV supports it)
  • Launch partnerships
  • Expand to new platforms or markets

Conclusion

The most successful buyers:

  • Focus on apps with real revenue, strong engagement, and stable metrics
  • Follow thorough due diligence
  • Negotiate based on facts
  • Grow the app systematically after purchase

With marketplaces like AppWill offering verified, profitable listings, finding quality mobile app businesses has never been more accessible.

About the Author

author photo

Mirko Humbert

Mirko Humbert is the editor-in-chief and main author of Designer Daily and Typography Daily. He is also a graphic designer and the founder of WP Expert.