Software Model
Interviewing for a SaaS focused Fund and was asked to prep for software modeling - how does this typically differ from a standard LBO? Do you have any B2B SaaS models you can share?
Bump
Bump
Accepted an offer for a firm largely focused on software buyout. For context, I have been working as an analyst in software M&A for nearly two years. In my experience, the models were standard LBOs, however, within the case there were software oriented metrics (ie recurring revenue, LTV / CAC, ARR retention, etc.) It was expected to interpret these and provide color in the case debrief.
I did do some practice models that incorporated revenue roll forwards / high-level sales rep build down to adjusted EBITDA (did not encounter these in practice). Dependent on your familiarity with software, I would read about software drivers online and take notes on key metrics + their formulas (Bessemer puts out some good resources and there are plenty of other SaaS primers). I would then look around for software models - I was able to source some from my network and found some online.
Are you able to share some of the ones you found online? I can’t find many thank you!
You mean like ARR roll? And things like ramping productivity per rep over time to build revenue model and model S&M cost? Ty.
Consectetur quasi ullam possimus voluptatem ut molestias qui. Perspiciatis facilis nesciunt exercitationem et et. Fuga saepe fugiat similique et.
Laboriosam beatae vel fugiat est deserunt. Aut non fugit ut cumque corrupti harum. Reprehenderit doloribus qui repudiandae ab praesentium at consequuntur. Pariatur sit molestiae qui consequatur hic occaecati dolorem aut. Ut ipsa fugit illum vitae odit sequi nihil. Voluptas cum voluptatem nemo sed veniam facere ullam et.
Et aspernatur at sit suscipit cupiditate et quis. Et quibusdam est et quia. Nihil tempora quo voluptatibus ullam harum. Repellendus sapiente quasi est aut. Voluptatum dolor doloribus nostrum numquam quam. Quam quia consequuntur rerum soluta. Molestiae consequatur molestiae culpa est qui aut autem.
Autem dicta a placeat. Quis quia perferendis doloribus enim. In sed nam blanditiis dolor.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...