Salesforce Companies Continue to Undergo Consolidation via Strategic Acquisition

Tequity recently completed our 4th strategic M&A transaction in the Salesforce partner ecosystem with the acquisition of our client, UK and UAE-based CloudSocius, by Belgium-based 4C Consulting. This acquisition makes 4C Group the largest independent Salesforce Consultancy in Europe with over 180 Salesforce Consultants across offices in London, Paris, Brussels, Mechelen, Lille, Dubai, Casablanca and […]

The 40% Rule for Software Companies

The 40% Rule is a metric used to evaluate Software (including SaaS) companies by investors or acquirers. The 40% Rule essentially means that a company’s growth rate plus their profit should equal 40%.  So, if your company is growing at 40%, your EBITDA can be 0%; if you’re growing at 20%, your EBITDA should be […]

Triple, Triple, Double, Double, Double

Coffee orders? No! “Triple, Triple, Double, Double, Double” (2T3D for short) describes an approach to building a successful SaaS company developed by Neeraj Agrawal, a general partner with Battery Ventures in Boston. 7 Phases of go-to-market success for SaaS companies Phase 1: Establish a great product-market fit. This involves finding and prioritizing customer pain points, then aligning your product […]

Tech Bubble? Maybe, Maybe Not

I just finished reading a great post by Bill Maris, President and Managing Partner at Google Ventures on whether we are currently in a bubble with regard to start ups like the one we experienced in 2000 – or not.  If we are, is it the same?  Worse? Back in the “dot com bubble” there were a lot of […]

The Software and IT Sector Led in Deal Values in Q1 2015

In exciting news, Software and IT M&A transactions led in deal values for the very first time in Q1 2015. A recent report released by PwC showed a decline of 20% in Q1 for overall technology merger and acquisition deals. But this is a little misleading because when you look a little deeper, it turns out […]

The 30 Best Industries in Tech If You Want to Exit Right Now

Tech Company exits were up 58% in 2014 and 70% of analysts believe that 2015 will see even higher levels of activity (and possibly a peak, but more on this in another post).  Following is a list* of the 30 best industries in the technology sector if you want to exit: Health & Wellness Data Storage […]

Competing in the Battle for Talent in Greater Toronto/Kitchener-Waterloo

As the North American markets continue to regain strength and the demand for technology grows, organizations across Canada’s key technology region – from the Greater Toronto Area (GTA) through to Kitchener-Waterloo (K-W) – will need to be more focused on hiring and retaining key talent. The competition for top talent in the technology sector has truly […]

Retail and POS Software Industry Performance & Trends

Industry Performance Summary The Retail and POS Software industry is expected to grow in line with the economy during the next 3 years to 2017, and is undergoing a period of consolidation, as larger industry players look to increase market share through acquisition. Advancements in technology have contributed to drastic changes in the industry and these have helped […]

The Top 10 Strategic Technology Trends for 2015

Gartner recently highlighted the top 10 technology trends that will be strategic for most organizations in 2015. Gartner defines a strategic technology trend as one with the potential for significant impact on the organization in the next three years. Factors that denote significant impact include a high potential for disruption to the business, end users […]

Maximizing Valuation – The Perfect Storm

I read a great article recently on several examples of how to manage a transaction really well. The first example was the sale of the LA Clippers to Steve Ballmer for $2B, a team that had been valued by Forbes at $575M. The other example is the sale of Instagram, a company with no revenue, […]