Tom Tunguz

NOVEMBER 8, 2016

Public companies are often required to disclose the process of their acquisition. LinkedIn’s sale to Microsoft is described step by step in an SEC disclosure and it offers both a peek into how these massive acquisitions are consummated, and also illustrates the best practices for how to run a process, both acquisitions and fundraisings.

Acquisition 100

Acquisition Finance Development Team Review Pricing 100

Baremetrics

NOVEMBER 1, 2021

It would be an understatement to say that we’re a fan of Flightpath Finance. We’re excited to announce that Baremetrics has acquired Flightpath Finance. The intention of the acquisition is to integrate Baremetrics and Flightpath to bring you an end-to-end financial data tool. We listened. Flightpath brings this functionality.

Finance 96

Finance Outsourced Development Sales Hiring Forecasting 96

Tom Tunguz

JANUARY 28, 2024

This dynamic will very likely cascade into the private markets as well with both acquisitions and financings in these categories priced at a premium. As a result, these businesses project higher growth rates & fetch more attractive valuations in early 2024.

Software Review 251

Software Review Software Finance Acquisition 251

SaaStr

JANUARY 25, 2024

Then, either: They’ll want to keep everyone for a while; or They won’t see the value in keeping much of sales, marketing, finance, etc. for anything longer than a transition period, and either won’t agree to hire all of them, or will transition them out post-acquisition. Do what you can to make sure it is.

Startup 223

Startup Sales Hiring Finance Acquisition 223

Tom Tunguz

MARCH 20, 2024

Sales & marketing will initially see a boost from AI as the early adopters reduce cost-of-customer acquisition through novel techniques. General & administrative should see productivity gains across legal & finance. Klarna slashed their CS spend by 66% with AI. Let’s declare this tug-of-war a wash.

AI Search 174

AI Search AI Scale SaaS 174

SaaStr

MARCH 12, 2024

It’s a common dream for founders to hope their startup be acquired one day, but what is a company, like Google, really looking for in their acquisitions? First, there are three types of acquisition deals: Talent — To get the expertise on your team and more firepower. And slowing down a process is an easy way to kill a process.

Software Review 225

Software Review Technical Review Acquisition Scale 225

Baremetrics

MAY 7, 2019

There are more funding and financing options for startups today than there ever have been before. There’s also been an explosion in debate and transparency about navigating startup funding and financing. Let’s explore the funding and financing options for your startup. Funding Your Startup. How To Evaluate Funding Options.

Finance 111

Finance Startup SaaS Payments Payment Methods 111

Tom Tunguz

NOVEMBER 7, 2017

The startup acquisition market is off by roughly 35% year-over-year. If it does happen, and when acquirers do decide to pursue acquisitions, I suspect we will enter a very acquisitive environment for three reasons. This is even more staggering considering the multibillion-dollar acquisitions of the past few years.

Acquisition 117

Acquisition Marketing SaaS Finance 117

Sales Hacker

JANUARY 20, 2021

If you know what to look for, acquisitions, mergers, and divestitures can represent that unique opportunity to make the sale of a lifetime. Why Mergers and Acquisitions Offer a Great Opportunity. The 3 Keys to Taking Advantage of Mergers and Acquisitions. Capitalized acquisition funds. Well, good news — there is.

Acquisition 111

Acquisition Sales Hiring Sales Forecasting 111

FastSpring

MARCH 6, 2023

About Presenter Frederic Linfjärd Fred is the Director of Growth Marketing at Planday and the former Head of Commercial Innovation at Capture One, where he 4x’d their revenue, leading to an acquisition.

Payment Methods 78

Payment Methods Scale Finance Payment Services 78

Neil Patel

NOVEMBER 9, 2020

Micro startup acquisitions. But before we dive into that, we need to look into what micro startup acquisitions are and why you need to sit up and take notice. Micro Startup Acquisitions: What Are They, and Why Should I Care? Micro Startup Acquisition Trends. That’s an expensive mistake if you make the wrong investment.

Technical Review 144

Technical Review Payment Methods Acquisition Development Team Review 144

Tom Tunguz

JULY 25, 2021

In the later stages, debt is often used to finance acquisitions, and perhaps this is occurring more for venture backed companies. Last, there are new financing options for factoring receivables for startups. Why has venture debt shifted later?

Finance 332

Finance Startup Acquisition SaaS 332

SaaStr

JULY 27, 2023

Generally speaking in most acquisitions: All engineering and most/all product employees will be retained. Finance and general G&A professionals are also often viewed as in the “want them for 6–9 months but maybe not longer” bucket. CMOs often seem to have a very short tenure post-acquisition in particular.

Acquisition 166

Acquisition Finance Engineering Retention 166

Tom Tunguz

DECEMBER 31, 2023

The anticipation of a rate change drives fear of target acquisition valuations. In the last two years, M&A has totaled about $49b & it surges to above $60b driven by AI acquisitions. The BTC ETF drives a resurgence in interest in web3 financing. The Fed cuts rates, which helps. M&A accelerates throughout the year.

AI Search 208

AI Search AI Scale Headcount 208

FastSpring

JULY 12, 2019

Here’s a quick guide to help you understand customer lifetime value and learn how you can use this subscription finance metric to improve your business. With such heavy investments in customer acquisition, your business needs to make sure you’re recouping the sizeable investment you’re making. What is Customer Lifetime Value?

Customer Lifetime Value 68

Customer Lifetime Value Payment Features Finance Payment Solutions 68

Tom Tunguz

AUGUST 24, 2014

We’ve already determined there is no material difference between the follow-on financing rates by geography. To answer the question, I’ve prepared three charts used Crunchbase data and focused on the seven states with more than 20 acquisitions since 2010. The third chart shows the distribution of acquisitions by state.

Acquisition 100

Acquisition Startup Finance Government 100

OPEXEngine

APRIL 26, 2022

Well, capturing as much total available market (TAM) makes growing your business through customer acquisition necessary. What is Customer Acquisition Cost (CAC)? Customer acquisition cost (CAC) is arguably one of the most important metrics for fast-growing B2B SaaS companies. So why even bother?

Acquisition 59

Acquisition B2B Benchmarks SaaS 59

Tom Tunguz

NOVEMBER 30, 2020

With all the news of unicorns and IPOs and acquisitions driven by the broader market, teams can fall into a trap to think building a startup into a success is easier for others. Receiving a rejection, or 20 nos, from potential financing partners. Struggling to re-energize after a derailed acquisition process. Missing a quarter.

Acquisition 279

Acquisition Finance Startup Engagement 279

SaaStr

MARCH 6, 2021

But since Citrix is public, we can still learn a bit about how Wrike looked right at the time of the acquisition from Citrix’s public filings. Citrix lost investment-grade credit financing deal. This will make future acquisitions more expensive. Wrike never went public, but instead was acquired by Citrix for $2.2B.

Acquisition 261

Acquisition Finance Investment Enterprise 261

Tom Tunguz

OCTOBER 18, 2020

And if it continues, we should expect the IPO, the direct listing, and special purpose acquisition vehicles (SPACs) to present compelling financing options to later stage founders. In software for at least the last few years, the public market premium is back after a multi-decade hiatus.

Software Review 363

Software Review Finance Enterprise Acquisition 363

SaaStr

DECEMBER 14, 2020

So as you’ve seen, acquisitions have picked up in SaaS. So many acquisitions, so many IPOs, so many public and private valuations of great SaaS companies are actually at / worth less than 10x ARR. Yes, if the acquisition is strategic, multiples are at all-time highs. This is the minimum bar for venture financing.

SaaS 343

SaaS Acquisition Cloud Finance 343

SaaStr

JULY 7, 2021

And forget about most bank-style debt financing if your VCs aren’t 100% supportive. Even if they don’t, the acquirer will generally require close to 100% shareholder support to close a deal no matter what the financing documents or law say. But a real acquisition, to buy the company —you need almost everyone’s support.

Banking 351

Banking Venture Capital Finance Investment 351

ChurnZero

AUGUST 24, 2018

This week we hosted a well-attended webinar on – Customer Success & Finance: Get Aligned! The webinar discussed the process and impact of the renewal from both the Customer Success and Finance point of view. Q: What do you do if CS and finance come to the table and have different numbers? So, it really does run the gamete.

Finance 61

Finance Customer Success Scale Customer Lifetime Value 61

User Pilot

OCTOBER 5, 2023

TL;DR The CAC payback period measures the time it takes for a company to recover the money invested in new customer acquisition. This metric helps SaaS companies choose the most effective customer acquisition channels , diagnose inefficiencies in customer retention strategies , and inform pricing decisions.

SaaS Payments 105

SaaS Payments Customer Lifetime Value Payment Solutions Acquisition 105

SaaStr

AUGUST 7, 2023

CAC stands for Customer Acquisition Costs and measures how much it costs to buy a new customer. No one gets in right in sales and marketing, but if you can put a little more budget into growth vs. new acquisition, magic can happen. One of the biggest dangers with founders is getting a crap model from a finance team.

Metrics 195

Metrics SaaS Sales Hiring Finance 195

Tom Tunguz

NOVEMBER 6, 2021

But there is a viable GTM strategy for startups to book multi-year deals with pre-payment, and use that cash to finance GTM growth. If an account executive can recoup all the cost of customer acquisition immediately, shouldn’t the startup collect those dollars and hire another AE?

Sales Hiring 309

Sales Hiring Scale Payments Payment Solutions 309

Software Platform Consulting

MAY 8, 2019

Fleetcor (FLT) closed on its acquisition of privately-held nvoicepay on April 1, 2019. Fleetcor’s first quarterly earnings report since the acquisition provides insight into the economics of the B2B payments space. No muss, no fuss with invoices and certainly not with purchase orders and no fancy financing.

Outsourcing Services 56

Outsourcing Services Payments Payment Services Payment Methods 56

Practical Advice on SaaS marketing

JUNE 1, 2012

Another week, another software-as-a-service (SaaS) acquisition. To be more accurate, it's really "another week, another four SaaS acquisitions." Among the more prominent purchases, Oracle bought Vitrue, following its acquisitions of Taleo and RightNow. Keeping pace, SAP purchased Ariba for $4.3 What are they buying?

Acquisition 100

Acquisition SaaS Finance Customer Support 100

Practical Advice on SaaS marketing

MARCH 5, 2012

Having lived through several acquisitions during my career in technology companies, I have some idea of what the folks at SuccessFactors (acquired by SAP last year) and Taleo (acquired by Oracle a few weeks ago) are going through. Some of these combinations go well, others not so well. Unported License.

Acquisition 100

Acquisition SaaS Finance Business Model 100

SaaStr

SEPTEMBER 20, 2023

Announcements of several blockbuster acquisitions, most notably from Adobe acquiring Figma, which was the highest valuation multiple offered in an acquisition for any software company at scale. Acquisition is an art and isn’t for everyone. On the M&A front, things slowed but remained robust for a couple of reasons.

Cloud 248

Cloud Payments Software Review Payment Solutions 248

Navint

NOVEMBER 14, 2019

Welcome back for part 3 of our Dreamforce 2019 series breaking down the must attend sessions for you and your finance team throughout the week. Why does this matter to finance? Ensuring all sales channels can be structured in a way that leads to downstream automation is critical for finance organizations. Click to add to Agenda.

Finance 53

Finance Revenue Acquisition B2B 53

SaaStr

NOVEMBER 23, 2022

For example, over the years, Angolia’s go-to-market strategy has tied together every part of its company, from finance to legal. . Angolia recently acquired another company, and Angolia had to figure out how they would hit the numbers required to make a return on the acquisition. The life of a CRO is all about results.

Underperforming Technical Team 274

Underperforming Technical Team Leadership Outsourced Development Finance 274

Subscription Flow

DECEMBER 28, 2023

Customer Acquisition Cost (CAC) Investors will also look into these metrics that show how much you spend on acquiring new customers. In general, a lower CAC indicates cost-effectiveness in customer acquisition. Moreover, investors also look into this metric when they are considering your idea for funding.

Metrics 52

Metrics SaaS Finance Acquisition 52

Sales Hacker

FEBRUARY 27, 2024

She previously served as the company’s Senior Vice President of Global Marketing, having joined in January 2021 through the acquisition of Exponea.

AI 89

AI Marketing Advertising Finance 89

Chart Mogul

DECEMBER 22, 2022

Daria Danilina, Co-founder at Salesroom , Jonah Remz, VP of Finance at Capchase , and Dirk Sahlmer, M&A Manager at saas.group joined our panel discussion to share their experiences growing SaaS businesses this year, what they learned from this downturn, and what growth strategies they plan to implement in 2023. Dirk Sahlmer, SaaS.group.

Strategy 95

Strategy Scale Finance Acquisition 95

SaaStr

JUNE 17, 2023

billion cash acquisition deal in December 2021. Another noteworthy transaction was Adobe’s acquisition of Marketo for $4.75 Entrepreneurs have been compelled to adjust their approaches and search for other methods of financing their companies in light of the modifications.

Venture Capital 217

Venture Capital Scale Technical Review Software Review 217

Divestopedia

AUGUST 14, 2021

In many cases, the sellers of a business (and even their intermediaries) have no idea how buyers finance an acquisition, but a closer look inside can show a business owner what it takes to complete a deal.

Finance 106

Finance Acquisition Business 106