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The Private Equity Perspective on Acquiring, Operating, and Selling Software Companies

In The Trenches

CHAPTER

The Importance of Revenue Growth

If you're turning out 20% of your logos every year, even if net retention is good, most people don't operate in infinite markets. And so it doesn't mean there aren't great businesses that have 80%, 70%, 60% retention. But again, if you gave me one metric about a business, I think you do learn a lot in a gross retention number.

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