Derrick Reimer
@derrickreimer11K followers
Founder of SavvyCal; co-founded Drip, which sold to Leadpages
SavvyCal, Drip, Codetree +2$20K MRR
exit story · 2016 · developer tools
How Derrick Reimer Sold Codetree to Kareem Mayan, Arif and Ryan (three-developer team) (2016)
Codetree was built by Derrick Reimer and sold to Kareem Mayan, Arif and Ryan (three-developer team) in 2016 for $128K.
Key facts
- Buyer
- Kareem Mayan, Arif and Ryan (three-developer team)
- Year
- 2016
- Price
- $128K
- Revenue at sale
- —
- Years operated
- 1 year
- Channel
- Broker
Why they sold: Derrick Reimer was doubling down on Drip and lacked time for bigger features, and believed the product would decline if left on autopilot in a competitive market.
The story of Codetree
Codetree is lightweight project management built on top of GitHub Issues. Derrick Reimer built it as a side project while co-founding Drip, putting up a landing page in July 2015 and launching publicly in January 2016.
With Drip acquired by Leadpages and taking his attention, Reimer listed Codetree through broker FE International. He turned down a first offer of about $103K and later accepted $128K in cash from a team of three developers, Arif, Ryan and Kareem Mayan, closing around June 2016.
Both sides documented the deal publicly: Reimer on the Startups For the Rest of Us podcast and the buyers in a multi-part blog series on buying a $128K side project.
Lessons Derrick Reimer shared
- 1.Due diligence takes far more work than expected; keep clean, dedicated bank and Stripe accounts for the business.
- 2.Agree in advance how revenue timing will be recorded so buyers do not see discrepancies.
- 3.A broker helps keep emotion out of negotiations and handle low offers.
- 4.Quality small SaaS businesses were in high demand, which gave sellers leverage.
Paraphrased from the maker's public posts and interviews (see sources).
The maker
See the Codetree product page or Derrick Reimer's full profile for everything they have built since.
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Sources
- startupsfortherestofus.com — startupsfortherestofus.com/episodes/episode-311-what-its-like-selling-a-128k-side-project-
- medium.com — medium.com/@kareem.m/what-its-like-buying-a-128k-side-project-4e4a105132d5
Facts are taken from the maker's and buyer's public statements and press coverage. Prices and revenue are shown only when publicly stated; self-reported figures are not independently verified.
Keep exploring
Codetree acquisition FAQ
Who bought Codetree?
Codetree was acquired by Kareem Mayan, Arif and Ryan (three-developer team) in 2016 from Derrick Reimer.
How much did Codetree sell for?
Codetree sold for $128K, as publicly stated.
Why did Derrick Reimer sell Codetree?
Derrick Reimer was doubling down on Drip and lacked time for bigger features, and believed the product would decline if left on autopilot in a competitive market.
How long did it take Codetree to get acquired?
Codetree was sold about 1 year after launch, through a broker (sold through an M&A broker such as FE International or Quiet Light).
What did Derrick Reimer learn from selling Codetree?
Due diligence takes far more work than expected; keep clean, dedicated bank and Stripe accounts for the business. Agree in advance how revenue timing will be recorded so buyers do not see discrepancies.