Software Company Diversification

So what do you do when you hit a wall and your revenue starts to slow? Or better, it hasn't happened yet, but you can see it coming down the road.

No matter how successful a software company is, this happens to EVERYBODY! Some fortunate few don't run up against it until they've become wildly successful. For most, it happens relatively soon, as most software companies start as single-product companies. That product may struggle out of the gate or grow fast for a long time. But even in this wonderful latter case, no market segment is of infinite size. And even for a bigger market, the law of large numbers will eventually kick in.

So what do you think you could do when this happens? Probably start to get pretty nervous, for one! But then you have to get down to planning and decision-making. And while there are many possible ways to proceed, at its most fundamental, the decision comes down to "make or buy". Internally develop new products or acquire them through some form of M&A.

What makes this decision even more complex is that you often aren't sure WHEN this slowdown is imminent.

So what do you do? Our newsletter article this month covers how to approach and optimize this decision-making process. Take a look at Software Company Diversification. As always, we love feedback and discussion.

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