Software Equity Group

We are pleased to share the success of our recent transactions at Software Equity Group. These achievements reflect our commitment to delivering exceptional outcomes for our clients across various industries. Our expertise and strategic approach continue to drive value and growth, positioning our clients for success in an ever-evolving market. We are proud to have played a pivotal role in these transactions and look forward to furthering our contributions in the M&A landscape. 𝗖𝗼𝗻𝘁𝗮𝗰𝘁 𝘂𝘀 𝘁𝗼𝗱𝗮𝘆 𝘁𝗼 𝗶𝗻𝘃𝗲𝘀𝘁 𝗶𝗻 𝘆𝗼𝘂𝗿 𝗰𝗼𝗺𝗽𝗮𝗻𝘆'𝘀 𝗳𝘂𝘁𝘂𝗿𝗲: https://lnkd.in/ewWcTJdT To learn more about our recent successes, click the links below 𝗣𝗲𝗽𝗽𝗲𝗿𝗶 𝗮𝗰𝗾𝘂𝗶𝗿𝗲𝗱 𝗯𝘆 𝗔𝗱𝘃𝗮𝗻𝘁𝗶𝘃𝗲: https://lnkd.in/ey3NrE_8 𝗘𝗰𝗼𝗜𝗻𝘁𝗲𝗿𝗮𝗰𝘁𝗶𝘃𝗲 𝗮𝗰𝗾𝘂𝗶𝗿𝗲𝗱 𝗯𝘆 𝗺𝗱𝗳𝗖𝗼𝗺𝗺𝗲𝗿𝗰𝗲: https://lnkd.in/gtGPFsDp 𝗠𝗼𝗯𝗶𝗹𝗲 𝗛𝗲𝗮𝗹𝘁𝗵 𝗮𝗰𝗾𝘂𝗶𝗿𝗲𝗱 𝗯𝘆 𝗛.𝗜.𝗚. 𝗚𝗿𝗼𝘄𝘁𝗵 𝗣𝗮𝗿𝘁𝗻𝗲𝗿𝘀: https://lnkd.in/ggB6_M5N 𝗦𝘁𝗼𝗿𝗮𝗴𝗲𝗔𝘂𝗰𝘁𝗶𝗼𝗻𝘀.𝗰𝗼𝗺 𝗮𝗰𝗾𝘂𝗶𝗿𝗲𝗱 𝗯𝘆 𝗦𝘁𝗼𝗿𝗮𝗯𝗹𝗲: https://lnkd.in/g9wVXdXp    #MnA #SaaSGrowth #Acquisition

𝗔 𝗵𝘂𝗴𝗲 𝗰𝗼𝗻𝗴𝗿𝗮𝘁𝘂𝗹𝗮𝘁𝗶𝗼𝗻𝘀 𝘁𝗼 Daniel P. Bowen 𝘄𝗵𝗼 𝗵𝗮𝘀 𝗯𝗲𝗲𝗻 𝗽𝗿𝗼𝗺𝗼𝘁𝗲𝗱 𝘁𝗼 𝗣𝗿𝗶𝗻𝗰𝗶𝗽𝗮𝗹 𝗮𝘁 𝗦𝗘𝗚! 𝗙𝗼𝗿𝗺𝗲𝗿 𝗦𝗘𝗚 𝗰𝗹𝗶𝗲𝗻𝘁, Matt Betts, 𝗣𝗿𝗲𝘀𝗶𝗱𝗲𝗻𝘁 & 𝗖𝗘𝗢 𝗼𝗳 Level Data 𝗵𝗮𝘀 𝘀𝗵𝗮𝗿𝗲𝗱 𝘀𝗼𝗺𝗲 𝗸𝗶𝗻𝗱 𝘄𝗼𝗿𝗱𝘀 𝗿𝗲𝗴𝗮𝗿𝗱𝗶𝗻𝗴 𝘁𝗵𝗲 𝗻𝗲𝘄𝘀. “Daniel was incredible to work with. From the earliest meetings at the start of our process, to the celebratory calls and emails at close, Daniel was on top of everything. As a founder, running a process is a very personal experience and Daniel excelled at supporting the business and emotional aspects of the transaction. His vast experience gave us confidence and his empathy made us feel that he absolutely had our backs at every turn. We never doubted we had the right partner. Thank you for guiding us Daniel!!” 𝗦𝗘𝗚 𝗠𝗮𝗻𝗮𝗴𝗶𝗻𝗴 𝗗𝗶𝗿𝗲𝗰𝘁𝗼𝗿/𝗢𝘄𝗻𝗲𝗿 Brad Weekes 𝗮𝗹𝘀𝗼 𝘀𝗵𝗮𝗿𝗲𝘀: "Daniel has led countless successful transactions and has become a trusted leader at SEG. His unique ability to approach deals with a "buyer's mindset" has been instrumental to his success, but what truly makes Daniel special is his personality. He brings humor, camaraderie, and a sense of fun to the workplace—hosting our legendary annual awards ceremony that has become a highlight for the team. Please join us in congratulating Daniel on this well-deserved promotion. We look forward to his continued success and leadership at SEG.” We are grateful for Daniel's hard work and dedication, and his contributions have never gone unnoticed. Here is a glimpse of the impact he has had on SEG: • Pepperi - Unified B2B Commerce Platform’s acquisition by Advantive • AffiniPay’s strategic divestiture of Soluno (An Actionstep Company) to Actionstep • VeraCore Software Solutions, Inc.’s acquisition by Advantive • Ideagen’s acquisition of Ideagen Tritan • Ion Wave Technologies, a Euna Solutions Brand’s acquisition by Euna Solutions (formerly GTY Technologies) • Level Data’s investment from BV Investment Partners • SightPlan (now SmartRent) acquisition by SmartRent • BuildingLink’s investment from Bregal Sagemount Learn more about Daniel’s experience as an M&A advisor: https://lnkd.in/ggdf7EWY

In today's M&A landscape, economic indicators like interest rates and growth are critical to your strategy. The Federal Reserve's recent interest rate adjustments—and the stabilization we've seen over the last six months—are directly influencing the software M&A market. These changes could impact everything from valuation multiples to buyer demand. Join us for an exclusive webinar led by SEG Principal Austin Hammer: "𝗦𝗲𝗹𝗹𝗶𝗻𝗴 𝗬𝗼𝘂𝗿 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗖𝗼𝗺𝗽𝗮𝗻𝘆: 𝗧𝗶𝗺𝗶𝗻𝗴, 𝗧𝗿𝗲𝗻𝗱𝘀, 𝗮𝗻𝗱 𝗠𝗮𝗿𝗸𝗲𝘁 𝗗𝘆𝗻𝗮𝗺𝗶𝗰𝘀." This webinar is designed to help you navigate the complexities of the M&A market in 2024. 𝗪𝗵𝗮𝘁 𝘆𝗼𝘂’𝗹𝗹 𝗹𝗲𝗮𝗿𝗻: • How economic variables, such as interest rates, influence M&A activity this year. • Strategies to refine your timing for the most favorable outcomes based on current market conditions and your company’s stage. • Actionable insights to help you align your exit strategy with market dynamics for a successful sale. Don't miss this opportunity to gain a deeper understanding of how to position your software company for success. 𝗪𝗮𝘁𝗰𝗵 𝗢𝗻-𝗗𝗲𝗺𝗮𝗻𝗱: https://lnkd.in/eft_FKyA #InterestRates #SaaSStrategy #Growth

𝗔𝗜 𝗶𝘀 𝗥𝗲𝘃𝗼𝗹𝘂𝘁𝗶𝗼𝗻𝗶𝘇𝗶𝗻𝗴 𝗘𝗱𝘂𝗰𝗮𝘁𝗶𝗼𝗻 – 𝗔𝗿𝗲 𝗬𝗼𝘂 𝗞𝗲𝗲𝗽𝗶𝗻𝗴 𝗨𝗽? AI in education means adaptive and data-driven learning, tailored to individual needs. AI-driven personalized learning platforms (PLP) are just one example of how quickly the tech landscape is evolving. As a leader in the SaaS industry staying updated with new trends and advancing technology is a necessity. Get SEG's comprehensive 𝟮𝟬𝟮𝟰 𝗦𝘁𝗮𝘁𝗲 𝗼𝗳 𝗘𝗱𝘂𝗰𝗮𝘁𝗶𝗼𝗻 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗥𝗲𝗽𝗼𝗿𝘁 for in-depth insights and actionable strategies. 𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗵𝗲𝗿𝗲: https://lnkd.in/gJ8pDfSd Don't Miss Our Latest Webinar: "𝗛𝗼𝘄 𝘁𝗼 𝗙𝘂𝘁𝘂𝗿𝗲-𝗣𝗿𝗼𝗼𝗳 𝗬𝗼𝘂𝗿 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗣𝗹𝗮𝘁𝗳𝗼𝗿𝗺 𝗳𝗼𝗿 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗮𝗻𝗱 𝗚𝗿𝗼𝘄𝘁𝗵." Discover how to stay ahead of the curve and understand the latest trends reshaping SaaS every day. 𝗪𝗮𝘁𝗰𝗵 𝗡𝗼𝘄: https://lnkd.in/gVk82-Ve #Education #EdTech #AI #SaaS

Reactions to the latest US PMI that tanked the markets Tuesday… (read to the end, there is some good news) The Institute for Supply Management (ISM) reported that the Manufacturing Purchasing Managers' Index (PMI) rose to 47.2 in August from 46.8 in July, though still indicating contraction (below 50). This marks the fifth consecutive month of contraction for the manufacturing sector, which accounts for 10.3% of the U.S. economy. Despite the uptick, the overall trend remains weak, with indicators such as new orders and production declining further. The markets did not react well: the Dow fell 1.51%, S&P 500 slid 2.12%, and the Nasdaq dropped a sharp 3.26%. All three indexes notched their worst days since the global sell-off on Aug. 5, largely on the data from this report. In summary, the combination of persistent manufacturing weakness, rising costs, and concerns about future demand contributed to the negative market reaction. Many industries are experiencing a noticeable slowdown in business activity, with reduced orders, cautious hiring, and economic uncertainty due to factors like high interest rates and upcoming elections. Some sectors, like chemical products and fabricated metal products, are rationalizing production and workforce, while others, such as food and electronics, are seeing mild recoveries. Despite current challenges, there is cautious optimism for a rebound in late 2024 or 2025, though concerns about environmental regulations and supply chain issues persist. Workforce challenges and shifting demand are common across industries. The good news… Regardless of economic conditions, the importance of embracing Industry 4.0 technology and SaaS software for driving efficiencies cannot be overstated. Whether navigating tough times or capitalizing on periods of growth, digital transformation technologies play a pivotal role in enhancing productivity and resilience. My role at Software Equity Group has me with meeting with these companies all the time – this tech can be the difference in challenging times for manufacturing/industrial orgs. Note… The US Manufacturing Purchasing Managers Index, released on the first of every month (the latest number came out on Sep 2 ‘24), measures the activity level of purchasing managers in the manufacturing sector. A reading of 50 or greater is considered "expansion"; anything below 50 is “contraction” (noted in gray). The PMI is an excellent indicator of manufacturing sector health. #leanmanufacturing #manufacturing #digitaltransformation #industry4point0

Investing in a future-proof platform is essential for a company's longevity and success. If scalability or M&A are your goals, our technology experts share actionable strategies to help businesses adapt to current and future needs, ensuring both short-term gains and long-term growth. Learn more about how to best future-proof your company by watching our latest webinar, 𝗛𝗼𝘄 𝘁𝗼 𝗙𝘂𝘁𝘂𝗿𝗲-𝗣𝗿𝗼𝗼𝗳 𝗬𝗼𝘂𝗿 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗣𝗹𝗮𝘁𝗳𝗼𝗿𝗺 𝗳𝗼𝗿 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗼𝗿 𝗚𝗿𝗼𝘄𝘁𝗵, with SEG's Chief Industry Strategist, Paul Lachance, and Jeff Scott, Chief Delivery Officer at KMS Technology, Inc. Click here to watch the webinar on-demand: https://lnkd.in/gVk82-Ve #SaaSStrategy #TechWebinar #IndustryInsights

𝗚𝗮𝗶𝗻 𝗮 𝗖𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝘃𝗲 𝗘𝗱𝗴𝗲 𝘄𝗶𝘁𝗵 𝗢𝘂𝗿 𝗦𝗮𝗮𝗦 𝗠&𝗔 𝗗𝗲𝗮𝗹 𝗗𝗮𝘁𝗮𝗯𝗮𝘀𝗲 𝗧𝗼𝗼𝗹 At Software Equity Group, we're dedicated to equipping software founders with tools that offer a distinct competitive advantage. Our user-friendly SaaS M&A Deal Database allows you to: • 𝗦𝗲𝗮𝗿𝗰𝗵 𝗗𝗲𝗮𝗹𝘀 𝗯𝘆 𝗗𝗮𝘁𝗲, 𝗩𝗲𝗿𝘁𝗶𝗰𝗮𝗹, 𝗼𝗿 𝗡𝗮𝗺𝗲: Easily access and explore specific transactions. • 𝗜𝗱𝗲𝗻𝘁𝗶𝗳𝘆 𝗧𝗿𝗲𝗻𝗱𝘀: Discover patterns and shifts in the SaaS landscape. • 𝗨𝗻𝗰𝗼𝘃𝗲𝗿 𝗣𝗼𝘁𝗲𝗻𝘁𝗶𝗮𝗹 𝗣𝗮𝗿𝘁𝗻𝗲𝗿𝘀𝗵𝗶𝗽𝘀: Find potential opportunities that align with your strategic goals. Elevate your strategic decisions with insights that keep you ahead of the curve: https://lnkd.in/gJfRxeQk #SaaS #MergersAndAcquisitions #MarketTrends #StrategicInsights

Our latest 2Q24 report delivers a thorough analysis of current trends and opportunities in the SaaS industry. Compiled by our M&A experts, this report offers actionable insights into the factors driving market shifts and growth potential. Key Trends:  • 𝗦𝘁𝗿𝗼𝗻𝗴 𝗣𝗲𝗿𝗳𝗼𝗿𝗺𝗲𝗿𝘀: Despite a broader 8.2% YTD decline in the Index, the top quartile saw a 24% stock price increase.  • 𝗩𝗮𝗹𝘂𝗮𝘁𝗶𝗼𝗻 𝗠𝘂𝗹𝘁𝗶𝗽𝗹𝗲𝘀: The percentage of companies trading at >10x EV/TTM Revenue rose from 17% in 2Q23 to 22% in 2Q24, reflecting improved valuations for profitable growth.  • 𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗚𝗿𝗼𝘄𝘁𝗵: Companies with >20% TTM revenue growth traded at a median of 9.1x EV/TTM Revenue—an 82% premium over those with slower growth. • 𝗥𝗲𝘁𝗲𝗻𝘁𝗶𝗼𝗻 𝗥𝗮𝘁𝗲𝘀: Companies with >120% net retention commanded a 63% premium in valuation compared to the broader Index.  • 𝗩𝗲𝗿𝘁𝗶𝗰𝗮𝗹 𝗦𝗼𝗹𝘂𝘁𝗶𝗼𝗻𝘀: Vertically Focused SaaS companies saw YOY growth increase, underscoring the demand for industry-specific solutions. For a comprehensive analysis of the latest SaaS market dynamics, including detailed performance metrics, valuation trends, and strategic insights, download our 𝟮𝗤𝟮𝟰 𝗦𝗘𝗚 𝗦𝗮𝗮𝗦 𝗜𝗻𝗱𝗲𝘅𝗧𝗠 𝗥𝗲𝗽𝗼𝗿𝘁 today. https://lnkd.in/g2WyC4wE 𝗚𝗿𝗼𝘄𝘁𝗵 𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝗶𝗲𝘀 𝗳𝗼𝗿 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗖𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀: Software advancements are creating abundant growth and M&A opportunities. To assist in navigating these, we offer a complimentary Strategic Assessment of your company. Please reach out if your company meets the following criteria for a liquidity event:  𝗠𝗶𝘀𝘀𝗶𝗼𝗻-𝗖𝗿𝗶𝘁𝗶𝗰𝗮𝗹 𝗦𝗮𝗮𝗦 / 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗚𝗥𝗥: >90%  𝗔𝗥𝗥: >$5M+  𝗥𝘂𝗹𝗲 𝗼𝗳 𝟰𝟬: >40% #SaaSGrowth #2Q24 #IndustryInsights 

Hear what Terry Danner, Former CEO of SightPlan, has to say about how SEG's efforts allowed him to remain focused on running their business during their transaction with SmartRent. "Probably the most challenging part of the whole process was the fact that we're running a company and trying to keep things moving forward. We had high demand for the product. ... So SEG was extremely helpful in taking a lot of the work off of us, so they kept us on tight timelines. In hindsight, I would say that if they hadn't, we would have never gotten this deal done." - 𝗧𝗲𝗿𝗿𝘆 𝗗𝗮𝗻𝗻𝗲𝗿, 𝗙𝗼𝗿𝗺𝗲𝗿 𝗖𝗘𝗢, 𝗦𝗶𝗴𝗵𝘁𝗣𝗹𝗮𝗻 𝗦𝗲𝗲 𝘁𝗵𝗲 𝗿𝗲𝘀𝘁 𝗼𝗳 𝗧𝗲𝗿𝗿𝘆'𝘀 𝘀𝘁𝗼𝗿𝘆 𝗵𝗲𝗿𝗲: https://lnkd.in/gHTqvHUV #ClientStory #MnA #SaaS

SEG's Chief Industry Strategist, Technologist, and Evangelist, Paul Lachance, holds digital transformation close to his heart, as evident in the passion he poured into this report. According to Paul, digital transformation goes beyond technology—it's a business model and a cultural shift. In the face of challenges like the labor market and high energy prices, we must seize the opportunities ahead. Let's navigate this shift together and embrace Industry 4.0 • To watch the full 18-minute report video, click here: https://lnkd.in/gbZ3YC62 • To download the State of Industrial & Manufacturing Report, click here: https://lnkd.in/gFN5w9AP • To view SEG's Manufacturing (Operations & Maintenance) Market Map, click here: https://lnkd.in/gN9EHDAZ 𝗚𝗿𝗼𝘄𝘁𝗵 𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝗶𝗲𝘀 𝗳𝗼𝗿 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗖𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀 Software advancements are creating abundant growth and M&A opportunities. To assist in navigating these, we offer a complimentary Strategic Assessment of your company. Please reach out if your company meets the following criteria for a liquidity event: 𝗠𝗶𝘀𝘀𝗶𝗼𝗻-𝗖𝗿𝗶𝘁𝗶𝗰𝗮𝗹 𝗦𝗮𝗮𝗦 / 𝗦𝗼𝗳𝘁𝘄𝗮𝗿𝗲 𝗚𝗥𝗥: >90% 𝗔𝗥𝗥: >$5M+ 𝗥𝘂𝗹𝗲 𝗼𝗳 𝟰𝟬: >40% #DigitalTransformation #Industry40 #BusinessInnovation