news Freelancer.com completes $7.5 million purchase of Escrow.com

[Arpit131]

Online freelancing marketplace Freelancer.com has completed its purchase of internet escrow service Escrow.com.

Freelancer.com announced in April that it agreed to purchase the company for $7.5 million. Escrow.com generated $5 million in revenue and $1.2 million EBITDA last year on $220 million of transactions.
http://domainnamewire.com/2015/11/02/freelancer-com-completes-7-5-million-purchase-of-escrow-com/
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Related: Escrow.com purchased for $7.5 million

 

[Recons.Com]

Wow, that is cheap. could have been almost the price of .com itself
Sold at 6 times ebitda, which is very low for the business...

 

[WoodDomain]

Big deal...

 

[freezer]

The price seems very low, with those numbers on hand!

 

[Icenevermelts]

Generating 5 millions a year and selling the business for 7 millions? Where is the logic?

 

[Recons.Com]

Generating 5 millions a year and selling the business for 7 millions? Where is the logic?

7 mln is revenue, earnings before interest, tax, depreciation is $1.2 mln, but yes, they should have asked for at least 2-3 times of revenue/10-20 times ebitda, i.e. $12-24 mln.

 

[NameYourself]

Perhaps they used Escrow.com to complete the transaction!
Agree though, sell price seems low.

 

[redesignunit]

big and perfect deal for freelance now he can spread more his business.

 

[Suraj Soni]

It seems very cheap, escrow is already a brand and it will increase in the future.