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M&A Is Back! Melio’s $2.5B Exit to Xero — In Just 7 Years!

SaaStr

to dominate US SMB payments. revenue multiple proves strong B2B companies with real growth (and it’s strong) can still command premium exits. The deal shows acquirers are hungry for revenue acceleration—Xero expects to more than double group revenue by 2028 with this acquisition.

Payments 195
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7 Predictions for SaaS in 2018

Tom Tunguz

Several landscape altering SaaS acquisitions will come to fruition because of cash availability from repatriation and because there are enough public SaaS companies at scale to add material revenue and market cap to buyers. Blockchain in the enterprise takes the reign as the buzzword for 2018. Microsoft buys Workday.

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5 Interesting Learnings from Shopify at $4 Billion in ARR

SaaStr

Shopify’s first quarter revenue: Q1 2021: $989 million Q1 2020: $470 million Q1 2019: $321 million Q1 2018: $214 million Q1 2017: $127 million Q1 2016: $73 million Q1 2015: $37 million Q1 2014: $19 million Q1 2013: $9 million. The Covid Boost for SaaS. NRR of 110%+ since 2018 — sort of. 5 Interesting Learnings: #1.

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How to Drive NRR Over 100% With SMBs

SaaStr

Fast forward to today, and we can add an important nuance to that: a second core product not only helps you grow faster at scale (a bigger TAM), but it drives up NRR and more revenue from your existing customers. Pretty good for SMB SaaS. In fact, now it’s more than 2x the size of its SaaS software alone.

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5 Interesting Learnings from Expensify at $140,000,000 in ARR

SaaStr

1M in ARR per employee could be a new efficiency record at IPO for SaaS. Their tiniest customers still have higher churn, as with almost every other SaaS company. Like Bill, it took the process seriously and became a licensed money transmitter itself. based revenue. 5 Interesting Learnings: #1. Only 140 employees (!).

Scale 321
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5 Interesting Learnings from Olo at $130,000,000 in ARR

SaaStr

Growth fueled by the addition of transactional revenue, not SaaS revenues. Olo’s explosive growth in the past 24 months prior to IPO wasn’t fueled so much by its SaaS revenue, but by transaction revenue as part of orders. As last as 2018, 93% of Olo’s revenue was pure SaaS.

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ISV vs PayFac: The Similarities and Differences Between Independent Software Vendors and Payment Facilitators

Stax

According to the Pew Research Institute , in 2022, a whopping 41% of Americans said they don’t use cash at all for any of their weekly purchases—a significant jump from 29% in 2018. FIS Global reports that in Norway, Sweden, and other Scandinavian countries, more than 90% of transactions processed at point-of-sale (POS) in 2023 were cashless.