The Impact of Gross Profit Margin on Software Valuations
Explore how Gross Profit Margin drives software valuation and influences your path to growth, profitability, and a successful exit.| Software Equity Group
Uncover your SaaS valuation potential. Our interactive SaaS scorecard provides instant insights into your company's worth by analyzing key financial metrics and operational factors.| Software Equity Group
Explore how Gross Profit Margin drives software valuation and influences your path to growth, profitability, and a successful exit.| Software Equity Group
Software Equity Group (SEG) is the leading sell-side M&A advisor for software & SaaS founders. With a 93.88% success rate, SEG runs a competitive process to maximize valuation, drive premium outcomes, and secure the right partner for your business.| 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
The market is flooded with firms promising sky-high valuations, but not all advisors deliver. Learn why software founders and CEOs choose SEG for a structured, high-integrity M&A process that maximizes your chance of a successful outcome.| 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
Explore top strategic buyers in SaaS M&A and what their activity means for your software company’s exit opportunities.| 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
SEG is focused on delivering great results for clients. Our team of experts can strategically help guide you through mergers and acquisitions (M&A), recapitalizations, divestitures or a board advisory.| 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
Now more than ever, private equity firms and strategic buyers prioritize profitability when analyzing potential acquisition targets. They want to know that your company can make money, operate efficiently, and make smart spending decisions to maximize financial gain. But what many operators don’t realize is that profitability isn’t always as simple as revenue minus expenses.… ... The post EBITDA Calculations and Adjustments that Improve Financial Readiness appeared first on Software Equ...| Software Equity Group
Understand how the Rule of 40 helps investors evaluate SaaS company performance by balancing growth and profitability.| Software Equity Group
Understand the risks and benefits of exclusivity agreements in M&A and how to protect your company’s interests.| Software Equity Group
Discover the different types of mergers and acquisitions, see real-life examples, and learn which exit option is best for your company.| Software Equity Group
Discover how improving LTV to CAC can significantly boost software company valuations. Learn key strategies for higher growth and market appeal.| Software Equity Group
$5M of SaaS ARR that attracts interest from Private Equity and Strategic Buyers. Learn what your options are below this number.| Software Equity Group
To assist you in your customer tracking, it's important to understand your metadata. Discover how these data points improve sales efficiency.| Software Equity Group
Learn how accurate SaaS P&L statements improve operations, reduce M&A friction, and support strategic growth.| Software Equity Group
Industrial industry trends are creating shifts that offer both opportunities and challenges for FSM SaaS companies to scale or exit.| Software Equity Group
Read how Net Revenue Retention impacts valuation for public software companies and what private companies can learn to drive sustainable growth and attract buyer interest| Software Equity Group
Explore SaaS unit economics success with our blog and read our tips, pitfalls to avoid, best practices, and more.| Software Equity Group
Achieve SaaS growth with a well-defined marketing strategy. Learn the proven tactics that grew a SaaS business from 2M to 10M in ARR.| Software Equity Group
Watch the on-demand webinar to learn best practices for creating and maintaining successful go-to-market strategies.| Software Equity Group
Gain actionable insights from our Quarterly SaaS Report. Stay informed with comprehensive analysis, trends, and benchmarks in the ever-evolving SaaS market.| Software Equity Group
Explore the essentials of a SaaS financial model in this high-level overview that will set the stage for sound financial modeling practices.| Software Equity Group
Experts share the importance of focusing on both customer retention and acquisition. Read their tips for actionable insights.| Software Equity Group
Various pricing models are available, and the optimal choice for your company may hinge on factors such as your software type, target customers, and growth stage. Learn more.| Software Equity Group
Software founders seeking a majority exit, strategic sale, or just want guidance on strategies to improve financial metrics, turn to Software Equity Group for M&A advice.| Software Equity Group
Our strategic assessment is designed to help software operators benchmark the business and provide guidance on key KPIs in relation to similar companies, while providing guidance on areas of improvement and timing.| Software Equity Group
The SEG SaaS Index tool offers interactive insights, tracking SaaS performance and providing comparisons against major indices.| Software Equity Group
From identifying key value drivers and preparing a financial forecast and resolving legal and challenges, we’ll guide you through the M&A process.| Software Equity Group
In this guide, we answer important M&A due diligence questions and share best practices to improve your chances of a successful transaction.| Software Equity Group
Maximize your exit with our Confidential Information Memorandum (CIM) guide. Learn what to include and how to present certain information.| Software Equity Group
PE software investors & strategic buyers see your company differently. Learn what they look for and how it impacts your M&A deal.| Software Equity Group
In this blog, we compare strategic vs financial buyers to help you understand the unique differences and learn how each type approaches M&A.| Software Equity Group
Due diligence is a critical stage for any software M&A deal. Discover 5 considerations to avoid an m&a deals failure.| Software Equity Group
Valuable insights with our in-depth research on SaaS industry trends await. Get data-driven analysis and strategic recommendations from our latest research resources.| Software Equity Group
Buyers want solid gross retention rates and gross profit margin from SaaS businesses. Learn about these metrics, why buyers care, and steps to improve them.| Software Equity Group
