As a refresher, the Rule of 40 is a metric used to evaluate the financial performance of software companies. The Rule of 40 is achieved if growth rate percentage plus profitability margin…

The purpose of this article is to explore the limits of The Rule of 40, highlight a high-profile example of a good company that doesn’t meet The Rule of 40 threshold, and explain why it…

To aid in the process of balancing growth and profitability, there is an increasingly popular calculation used to assess the value of public SaaS companies based on the trade-off between…

Can you create real enterprise value in non-recurring businesses? Absolutely. It’s really helpful to have significant market size growth as a tailwind for the business. And, then it…

Can you create real enterprise value in non-recurring businesses? Absolutely. It’s really helpful to have significant market size growth as a tailwind for the business. And, then it…

Can you create real enterprise value in non-recurring businesses? Absolutely. It’s really helpful to have significant market size growth as a tailwind for the business. And, then it…

As check sizes have grown over the last decade, VC and growth equity firms need to reconsider what it means to be capital efficient. Let’s dig a little deeper and examine three very…

A few months ago, we wrote about how companies must balance both growth and profitability instead of chasing growth at all costs. This tradeoff has recently come into greater focus as fast…