Software Equity Group

When it comes to M&A and Private Equity investment, topline ARR isn’t enough. Investors and acquirers look beyond revenue growth, prioritizing predictability, profitability, and long-term value creation. One of the biggest, and often overlooked, factors? ???????????????? ??????????????. Join us for our webinar, The Customer Success Strategy That Drives Growth and Valuation, where we will break down how modern CS strategies drive retention, reduce churn, and fuel profitable growth. ?????????????? ????????: Thursday, March 20th 11am PT / 2pm ET ??????????????????:? Paul Lachance, Chief Industry Strategist, Technologist, and Evangelist, SEG Jeff Navach: Founder, ATX Growth Advisors Haneen Shouman: VP of Customer Success, Eptura Register now to learn how leading SaaS companies are turning Customer Success into a competitive advantage: https://lnkd.in/gy45rBrf

The scenario below highlights a common challenge for SaaS businesses. While this company may not be ready to hit the market just yet, there’s a clear path to becoming an attractive M&A candidate. ?????? ????????????????: This example company has made significant investments in sales and marketing, reflected in its high growth rate, substantial cash burn, and low LTV:CAC ratio. However, this low ratio isn’t due to weak gross margins or churn—both are strong. Instead, it’s a result of "spending ahead of the curve." The company is prioritizing rapid scale at the short-term expense of profitability and efficiency. The good news? If the business can grow into its sales and marketing investment, it will: ? Improve its LTV to CAC as efficiency increases ? Enhance profitability by generating more revenue from existing investments ? Hit the critical $5M ARR milestone, strengthening its M&A positioning We analyzed this company using our ???? ?????????????? ?????????????????? ??????????????????, the same approach we use with clients to assess M&A readiness. Download the full ?????????????????????? ?????? ?????????????????????? here: https://lnkd.in/gr7_XEMN #SaaS #MarketReady #BusinessAnalysis

No one wakes up and decides to run a marathon without training. Selling your company is no different. It takes preparation, strategy, and the right team by your side. ?????????????????????? ???? ??????. The best outcomes start long before the sale. Strong financials and positioning take time. ???????????????? ??????????????. Taking the first offer is like sprinting the first mile. Pacing yourself leads to better results. ???????????? ???????????????? ?????????? ?????? ????????????????????. The right advisors create competition, drive value, and help you finish stronger. At SEG, we have helped founders navigate every step of the M&A process, ensuring they cross the finish line with the best possible outcome. ?????????? ???? ?????????? ???????? ??????????????? https://lnkd.in/gnMNyYyt #SaaS #FounderExit #Growth #Valuation

A strong customer success strategy can mean the difference between standing out in M&A or being overlooked.?Join SEG Chief Strategist Paul Lachance and three expert panelists as they break down how CS impacts valuations, deal structures, and investor priorities. ?? The webinar will be Tomorrow, Thursday, March 20th @ 11am PT / 2pm ET. Register now: https://lnkd.in/gpr43PYr Hosted by: Paul Lachance, SEG's Chief Industry Strategist Speakers: Jeff Navach, Founder of ATX Growth Advisors & Haneen Shouman, VP of Customer Success, Eptura

What really drives your company’s valuation? It’s more than just revenue. Investors and buyers analyze 20 key factors, with 10 quantitative and 10 qualitative, to assess market position, growth potential, and long-term value. Two critical metrics are Gross Revenue Retention (GRR) and the Rule of 40, both of which signal financial health and scalability to potential buyers. Explore the full breakdown, including example formulas and their impact on valuation, in our whitepaper: "20 Factors to Track When Valuing Your Company." Download it here: https://lnkd.in/gmxvXuWG ?? Curious about how your company stacks up? Try our Interactive SEG SaaS Scorecard? to benchmark your metrics and uncover areas for improvement: https://lnkd.in/gr7_XEMN #SaaSValuation #SaaSMetrics #GRR #RuleOf40 #SaaSFinance #MergersAndAcquisitions #SaaSGrowth

Government SaaS is seeing momentum—but how are deals shaping up? With increasing demand for secure, scalable solutions, the GovTech market is seeing strong M&A activity. But what’s driving valuations? Where are buyers focusing? And what should founders be thinking about? Our latest Government SaaS Report breaks it all down. Get the insights here: https://lnkd.in/gzkExBBc #GovTech #GovernmentSaaS #SaaSMnA #GovTechTrends #MergersAndAcquisitions

Research shows that diverse leadership teams drive greater innovation and higher ROI. It’s not just the right thing to do — it’s imperative for long-term success in SaaS. But diversity doesn’t happen by accident; it requires deliberate action. That’s what our 2025 Female Trailblazers of SaaS shared with us when we asked them how to get more voices at the table, their lessons learned, and what advice they’d give to their younger selves. Their insights offer a roadmap for anyone navigating leadership in SaaS today. Read their stories: https://lnkd.in/epbAGtm8 #IWD #IWD2025 #Leadership Heather Preu Heather Combs Suellen McFarling

Customer Success isn’t just about retention—it’s a direct driver of revenue, profitability, and valuation. - Strong GRR signals stability and reduces churn. - High NRR drives expansion and increases LTV. - With 60-80% of revenue from existing customers, maximizing post-sales growth is critical. But many CS teams are still reactive, siloed, and lack revenue ownership. How can SaaS companies turn CS into a true growth engine? Join us for our webinar, The Customer Success Strategy That Drives Growth and Valuation, where SEG’s Paul Lachance and leading CS experts will break it all down. ?? Join us next Thursday, March 20th at 11am PT / 2pm ET. Register here: https://lnkd.in/gwUPp88u Hosted By: Paul Lachance, SEG's Chief Industry Strategist Speakers: Jeff Navach, Founder of ATX Growth Advisors, & Haneen Shouman, VP of Customer Success at Eptura #CustomerSuccess #SaaSGrowth #EnterpriseValue #CustomerExpansion

February was another strong month for SaaS M&A, with key acquisitions reflecting continued investment in IT service management, customer experience enhancement, AI-powered networking, and digital workflow automation. Here are a few recent deals: ?? NVIDIA acquired Augtera Networks to enhance AI-powered networking, bringing predictive analytics and automation to enterprises. ?? ServiceNow acquired Advania Group (Quality 360 solution), expanding its digital workflow capabilities with AI-driven quality management tools for manufacturers. ?? Turn/River Capital acquired SolarWinds, aiming to accelerate growth and innovation in IT infrastructure management. ?? Zendesk acquired Local Measure to fast-track an AI-powered voice solution, integrating with Amazon Connect for scalable customer service. As SaaS M&A remains active in 2025, expect continued investment in AI, automation, and cybersecurity to meet the evolving needs of businesses. Stay ahead in SaaS M&A. Get monthly updates straight to your inbox—subscribe here: https://lnkd.in/dcsZMGWB Explore Vertical SaaS deals in our deal database: https://lnkd.in/gJfRxeQk #SaaS #MergersAndAcquisitions #TechMnA #PrivateEquity #SoftwareGrowth

We had an incredible time filming with Chris Fowler and Steve Wells, Co-Founders of ClearPathGPS, as they shared their journey through the M&A process. Hearing firsthand how they were “blown away” by our strategy and execution was a powerful reminder of why we do what we do. Behind the scenes of capturing their story—full video is out now! https://lnkd.in/ekqG7ARb #BehindTheScenes #MergersAndAcquisitions #SaaSExit #SaaS