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ID: MV4327

Profitable Custom Software Development Agency In Canada For Sale

Canada

Absentee Ownership. Generating $1.3M TTM EBITDA & 45% adjusted EBITDA margin, serves mid-market, enterprise, Fortune 500, and government clients across North America.

ID: MV4327

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Profitability:
45%

Business Description

Founded 18 years ago, the business specializes in complex, data-driven web, mobile, and enterprise software applications that require deep technical expertise and reliable delivery. The Company has built a strong reputation for exceptional client service, on-time execution, and handling sophisticated projects that lower-end or commoditized agencies are not equipped to deliver. Its blue-chip client roster and long-standing relationships provide strong credibility and a solid platform for continued growth.

The business operates through a highly efficient hybrid delivery model, with a customer-facing team in North America supported by a dedicated 21-person overseas development team engaged on a fixed-price-per-project basis. This structure helps eliminate idle capacity risk, avoids bench costs, and supports margins that are uncommon in the software services sector. The Company is remote-operated, making it attractive to a broad range of strategic and financial buyers seeking a scalable and flexible business model.

Owner involvement is minimal, with the Founder currently contributing around 10 hours per week in a strategic oversight role. Day-to-day operations, sales, client relationships, and project delivery are managed independently by an experienced General Manager. The GM is expected to continue post-close and is open to rolling equity into the transaction, supporting leadership continuity and a smooth handover for clients and staff.

There are multiple clear growth opportunities for a new owner. Recurring managed services revenue currently accounts for approximately 15% of the business and is mainly offered to existing clients after project completion, creating scope to expand higher-value recurring revenue streams. There is also a strong market tailwind from increasing SME demand for custom AI-enabled applications, while AI development tools are expected to improve delivery efficiency and further enhance margins.

Employees: 21 dedicated overseas development team members, plus customer-facing management and sales support in North America

The Founder is pursuing personal interests and travel after 18 years of ownership and is committed to supporting a smooth transition. Further information is available to qualified buyers upon inquiry.

Investment Rationale

The Company operates in the custom software development market but is differentiated by its focus on complex, data-driven projects, strong delivery reputation, enterprise-grade capabilities, and established relationships with Fortune 500 and government clients.

Significant opportunity exists to grow recurring managed services revenue, expand IT managed services offerings, capitalize on increasing demand for AI-enabled software solutions, and scale delivery capacity quickly through the existing recruitment pipeline of the overseas development partner.

The Founder is open to providing a reasonable transition period post-close to ensure continuity and a seamless handover. The experienced General Manager is expected to remain with the business.

Reason for selling: After 18 years of ownership, the Founder is pursuing personal interests and travel. The business no longer requires day-to-day founder involvement.

To register interest you will need to complete our Buyer Verification Process.