Discover all of our insights about the world of software and SaaS mergers and acquisitions (M&A).| Software Equity Group
Explore top strategic buyers in SaaS M&A and what their activity means for your software company’s exit opportunities.| Software Equity Group
Revenue growth might catch a buyer’s eye, but gross margin reveals whether you’re building a scalable, efficient SaaS business or masking costly cracks in delivery. For that reason, private equity firms and strategic buyers weigh gross margin heavily when deciding what your SaaS company is really worth. For SaaS leaders, understanding gross margin is about… ... The post The Impact of Gross Profit Margin on SaaS Company Valuations appeared first on Software Equity Group.| Software Equity Group
Every SaaS company celebrates new customer wins, but that growth won’t stick if customers are quietly slipping away. Churn creates a hamster wheel effect, where sales must replace lost revenue before they can generate true growth. Tracking churn provides a direct view into product-market fit, customer satisfaction, and long-term scalability. High churn indicates potential cracks,… ... The post How To Calculate SaaS Churn Rate Correctly (With Formulas and Examples) appeared first on Softwa...| Software Equity Group
SaaS CFO Ben Murray and SEG unpack what really drives SaaS valuations. Learn the metrics, mistakes, and levers that shape value.| Software Equity Group
In this post, we share a few digital marketing trends and ways SaaS leaders can incorporate them into their marketing strategy.| Software Equity Group
Success in SaaS comes from building a product customers love and from making disciplined decisions about growth, efficiency, and timing. The question most CEOs ask is simple: How do we stack up against the market and our closest peers? That is exactly why we built the SEG SaaS Index™ and the interactive Index tool. It… ... The post How to Use the SEG SaaS Index™ to Benchmark Your Business appeared first on Software Equity Group.| Software Equity Group
You have probably entertained the idea of selling your SaaS company at least once during your tenure as an entrepreneur. You need help getting your business to its next phase of growth. You want to focus on a new venture. You are looking to minimize risk or increase liquidity. Or you may be ready to… ... The post How to Sell Your SaaS Business: A Guide to Getting Started appeared first on Software Equity Group.| Software Equity Group
Private equity’s appetite for SaaS shows no signs of slowing. With deal activity picking up and capital ready to deploy, PE remains the leading force in SaaS M&A. In 2024, PE firms participated in 61% of all SaaS deals, including both platform acquisitions and add-ons by PE-backed strategics. High-quality SaaS companies feature predictable, recurring revenues,… ... The post Our List of 10 Private Equity Firms to Watch in Software M&A appeared first on Software Equity Group.| Software Equity Group
If you are leading a software company generating between $5 million and $50 million in revenue, there is a good chance you have received unsolicited outreach from private equity firms or strategic acquirers. These messages often arrive with a proposed valuation range or a vague invitation to explore strategic alignment. Founders are frequently flattered by… ... The post The Truth About Unsolicited Private Equity Offers (and What Founders Should Do Next) appeared first on Software Equity Group.| Software Equity Group
SaaS CEOs and founders regularly ask us whether they should consider accepting a minority investment instead of seeking majority investment or selling their businesses outright. A minority investment is when a leader decides to sell less than 50% of the company. Above 50% is a majority investment. That 2% difference (or less) determines who has… ... The post Minority Investment: What SaaS Founders Should Know Before Selling a Stake appeared first on Software Equity Group.| Software Equity Group
Due diligence is important to create a deal that creates value and spurs innovation. Discover 6 important areas of due diligence with our checklist.| Software Equity Group
Understand how the Rule of 40 helps investors evaluate SaaS company performance by balancing growth and profitability.| Software Equity Group