Due Diligence Checklist for Buying an App

Before acquiring any mobile application, thorough due diligence is essential. This checklist covers the critical verification steps that professional app acquirers follow.

Financial Verification

• Access App Store Connect / Google Play Console. Verify reported MRR directly in the platform's financial reports — never rely solely on screenshots.
• Cross-reference with payment analytics. Services like RevenueCat, Adapty, Apphud, or Qonversion provide independent subscription tracking. Compare their numbers with platform reports.
• Check net vs. gross revenue. Confirm whether the seller is on the 15% (Small Business Program) or 30% commission tier.
• Analyze revenue trends. Look at the last 6–12 months. Is MRR stable, growing, or declining? What's driving the trend?

Traffic & Acquisition History

• When was the last marketing campaign? The longer since the last paid acquisition, the more reliable current organic revenue is. Apps with marketing running in the last 3–6 months carry higher forecasting risk.
• What were the traffic sources? Facebook Ads, Google UAC, TikTok, ASO, organic search — each source produces subscribers with different retention profiles.
• Were motivational (incentivized) installs used? Incentivized installs inflate download numbers but produce low-quality subscribers who churn quickly.
• Verify install sources. While 100% verification is impossible, approximately 90% of traffic sources can be confirmed through analytics tools and platform data.

Technical & Legal Review

• Account history. Has the app been transferred between developer accounts? Each transfer resets some trust signals with Apple.
• Account type. Is it registered under an individual or a legal entity? Entity accounts are generally preferred for larger transactions.
• Source code. Obtain the latest working build, design files, and documentation. Verify the code compiles and matches the live App Store version.
• Privacy policies & compliance. Ensure privacy policies are current. Apple may flag outdated policies during the next review.
• App Store review history. Check for any past rejections, warnings, or policy violations.

Seller Conversation

• Conduct a live call with the developer. Ask about the app's history, why they're selling, any known issues, and their honest assessment of future prospects.
• Verify ownership. Confirm the seller actually owns the app and has authority to sell. Request proof of identity matching the developer account registration.