Company’s topline is up over 50% in past five years.
Australian company Freelancer.com has acquired Escrow.com for US $7.5M. This is 6.25x Escrow.com’s 2014 EBITDA.
The transaction reveals, for the first time, Escrow.com’s growth in recent years. The company’s 2014 revenue was nearly 55% higher than 2010, representing a 9.1% CAGR since then.
2010: $3.269 million
2011: $4.125 million
2012: $4.646 million
2013: $4.798 million
2014: $5.048 million
Keep in mind this only represents Escrow.com’s small take on each transaction. Last year it handled $265 million in transactions, so its revenue was just under 2% of this. EBITA last year was $1.2 million, showing the cost of providing escrow services. I understand that the company spends a significant amount of money on compliance and licensing.
81% of Escrow.com’s business includes at least one party from the United States, and 41% of transactions involve two parties in the U.S.
Escrow.com will remain a separate company based in California.
did it say how much net profit or loss escrow.com posted last year? was this money-losing company?
It had an EBITDA of $1.2 million. It was making money.
how you know this? is the EBIDTA same as the NET PROFITS ?
The info was in Freelancer’s press release. EBITDA = earnings before interest, taxes depreciation and amortization.
you did not answer my question
If Escrow was smart would have kept agreed.com, and spun off escrow.com
Two escrow companies in this deal, agreed.com, and escrow.com both great domains, probably combined have a value over $1M to the right buyer.
oh sammy – learn how to do a Google search. It’s not Andrew’s job to be your personal financial teacher. It’s pretty obvious anyways.