Technology & SaaS Business Advisory

The Technology & SaaS market we work in

Technology and SaaS covers software products, subscription platforms, IT-managed service providers and technology-enabled service businesses. Value here is driven less by hard assets and more by recurring revenue, growth and the stickiness of the customer base, which makes these businesses unique to value and sell.

How buyers value Technology & SaaS businesses

SaaS and software businesses are frequently valued on a multiple of recurring revenue (ARR) rather than earnings, with the multiple driven by growth rate, net revenue retention, gross margin and churn. IT-services and managed-service firms, with their blend of recurring and project revenue, are more often valued on earnings, often in the range of three and a half to six times for strong, growing operators.

The single biggest value lever is recurring revenue quality: high retention, low churn and a diversified customer base can dramatically raise the multiple, while concentration and churn pull it down. Documented, transferable technology and a team that can run without the founder also materially increase what acquirers will pay.

What makes a Technology & SaaS sale distinctive

Diligence in tech is distinct. Buyers examine the code base and technical debt, customer contracts and renewal terms, churn cohorts, security, and the ownership of intellectual property. Founder dependence and key-developer retention are common areas of focus, and deals often include earnouts tied to retention or growth.

Because value rests on metrics rather than assets, clean reporting of ARR, churn and unit economics is essential, and a credible financial model is often the difference between a strong process and a stalled one. We help founders present the business in the language acquirers and investors expect.

Our services for Technology & SaaS businesses

• Sell a technology and SaaS business confidentially to vetted buyers
• Valuation built on real technology and SaaS comparables and value drivers
• M&A advisory for buyers and sellers of larger technology and SaaS companies
• Exit planning tuned to how technology and SaaS businesses transition
• Due diligence that protects technology and SaaS buyers and sellers

What buyers look for in a tech or SaaS business

For software and SaaS, buyers focus relentlessly on recurring-revenue quality: net revenue retention, churn, growth rate and gross margin. They also examine customer concentration, the ownership and cleanliness of the intellectual property, the state of the code base and technical debt, security posture, and how dependent the business is on the founder or a few key engineers.

For IT-services and managed-service firms, the contracted, recurring portion of revenue and a stable technical team drive value. In both cases, clean metrics and documentation separate a premium outcome from a discounted one.

Preparing a technology business for sale

The most valuable preparation is getting your metrics clean and defensible: accurate ARR or MRR, cohort-level churn and retention, and clear unit economics that a buyer can trust. Reduce customer concentration, document your IP ownership and contracts, and address technical debt that a diligence process would flag.

Reducing founder dependence, by documenting systems and empowering a team, materially raises value, since buyers pay more for a business that runs without you. A credible financial model is often the difference between a strong process and a stalled one.

Serving Technology & SaaS owners across the metro

We work with technology and SaaS owners throughout the New York metro and into Connecticut:

Frequently asked questions