

The Private Equity Perspective on Acquiring, Operating, and Selling Software Companies
May 27, 2021
Chapters
Transcript
Episode notes
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Introduction
00:00 • 5min
The Rule of 40 in Software Investing
04:31 • 4min
The Tradeoff Between Revenue Growth and Profitability
08:07 • 3min
How to Sell Your Business That Has Not Yet Attained Rule of 40 Operations
11:16 • 3min
The Importance of Gross Logo Retention
14:18 • 4min
The Importance of Revenue Growth
18:24 • 1min
The Differential Between Recurring and Transactional Revenue
19:43 • 6min
The Importance of Service Revenue
25:13 • 4min
What Is the Best Use of Growth Equity?
29:00 • 6min
How to Differ Potential Financial Acquirers
34:44 • 6min
The Downside of a High Valuation in a Market Like This for an Owner CEO
40:19 • 3min
The Importance of a Critical Component in a Growth Equity Investment
43:46 • 4min
The Importance of Measuring Your Business
47:53 • 5min
The Importance of Culture in a Company
52:54 • 3min
What It's Like to Work Under a Private Equity Parent
55:40 • 4min
The Importance of Board Decisions
59:37 • 4min
The Importance of a Letter of Intent
01:03:36 • 5min
The Asymmetry of Selling Your Company
01:08:27 • 4min
The Importance of Consistency in Selling a CEO
01:12:43 • 2min
The Importance of Balance in Selling a Business
01:14:27 • 3min
How to Count a CEO Who Is Asked to Roll Some Equity
01:17:34 • 4min
How to Commoditize Yourself as a CEO to a Business
01:21:04 • 3min
The Importance of Teamwork
01:24:01 • 2min
The Power of Teamwork
01:25:37 • 3min