Industry deep-dive
How to Buy an App or Gaming Business
By Michael Freedman, Florida licensed business broker · Reviewed October 22, 2026Digital products with global reach and near-zero marginal cost. High upside, but revenue can be fragile.
Why buyers like this industry
- A successful app scales to millions of users without adding staff or cost per sale.
- Subscription apps produce predictable recurring revenue that lenders and buyers reward.
- Low overhead: no inventory, no leases, tiny teams.
- Many indie developers prefer building to operating, creating a steady flow of sellers.
What drives value in this category
- Recurring subscription revenue versus one-time purchases or ads
- Organic download share versus paid user acquisition
- Retention and churn curves by cohort
- App store ratings and review velocity
- Diversification across apps or platforms
Red flags to check
- Revenue depends on one platform's algorithm or featuring.
- Downloads rely on paid ads with rising acquisition costs.
- The codebase depends on one developer with no documentation.
- Churn is masked by constant new-user acquisition.
Who this suits
Buyers comfortable with software who can evaluate code quality, analytics, and app store mechanics.
Michael Freedman
Florida licensed business broker. 14+ years buying and selling businesses, 1,000+ evaluated, $100M+ in deals closed and advised on.
About Michael →Evaluate any deal like a pro.
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