Software firm Sage mulling sale of payments business

Fri, 09 Dec 2016 | DIVISION SALE

UK software firm Sage is considering selling its struggling North American payments business as the group looks to boost its growth.

The company, the largest of its kind in Britain, confirmed in a statement this week it was “evaluating potential strategic options, including a sale” of the payments business, adding: “There can be no certainty that this evaluation will lead to any transaction.”

Headquartered in Newcastle, Sage was founded in 1981 and provides accounting and payroll software for clients in 23 countries, employing 13,000 people.

The firm entered the FTSE 100 in 1999 and enjoyed strong growth as desktop computers became more widespread.

But its traditional offer - installing software in clients’ offices - has come under pressure recently from competition from start-up firms and rivals offering web and cloud-based products, the Financial Times reported.

Its payments business is also thought to be struggling as giants including Apple, Google and PayPal now dominate the market.

Last month, Sage posted improved revenue growth for the 12 months to the end of September, but warned that its payments business was underperforming.

The company reported overall revenue growth of 6.1 per cent but growth in its North America arm stayed flat, the company adding that it was “underperforming relative to Sage's overall performance”.

Find service businesses for sale.


Share this article



Latest Businesses for Sale

Contemporary Bar & Bistro
Lancashire, UK Wide

The business for sale is a highly contemporary bar and bistro serving an array of high quality, locally sourced and freshly prepared food and drinks with a great environment. Great reputation in the area for food and live music. Has built up a reliab...

Asking Price: £99,950
Turnover: £450,000

LEASEHOLD


Commercial Cleaning Company
Berkshire, UK Wide

Leading cleaning company in area. High-quality contracts and clientele. All equipment included in the sale. Well-established. Company has an excellent retention rate with a valuable team of staff. Huge scope for growth. The business is now for sale o...

Asking Price: £180,000
Turnover: £436,428

LEASEHOLD


Online Strapping Retailer
Devon, UK Wide

This is an excellent opportunity for an interested and committed buyer to take on a highly reputable e-commerce business which specialises in strapping and other fastening equipment. Excellent online reputation. Wide range of stock. Loyal commercial...

Asking Price: £350,000
Turnover: £1,129,718

RELOCATABLE



View more businesses for sale

News Search

Latest News

 
29
 
May
 

Monsoon Accessorize close to administration | ADMINISTRATION

Fashion retailer Monsoon Accessorize is close to entering ad...

 
28
 
May
 

M&G completes purchase of Ascentric platform from Royal London | BUSINESS SALE

Asset manager M&G has completed the purchase of wealth manag...

 
27
 
May
 

Food-to-go supplier calls in administrators | ADMINISTRATION

Adelie Foods, one of Britain’s biggest suppliers of sa...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
10
 
Sep
 

Sage Group to sell its payment processing arm | BUSINESS SALE

Sage Group, the FTSE-100 technology firm which is thought to...

 
26
 
Dec
 

Hartlepool United Football Club for sale | BUSINESS SALE

After being relegated from the Football League for the first...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources