Lessons from Acquiring a Software Company

Entrepreneurs need to understand that the grass isn't always greener when acquiring a software company, as the notion of reduced costs can be deceptive. While software may eliminate hardware expenses, marketing costs can be substantial, consuming as much as 60% of the budget. This dispels the myth of a cost-free software business. One must realize the importance of marketing to make their software known. The experience of acquiring Personal Training Systems (PTS) highlighted this, leading to a valuable lesson learned after a challenging three-year period running the software company. Transitioning from this, the realization that managing people wasn't enjoyable pivoted the focus towards the investment realm, leveraging prior entrepreneurial experience and board observations to delve into the advising and investing domain, ultimately igniting a passion for assisting and guiding founders in their early stages.