The Business of RaaS: Deployment Acquisition Cost

The software development community is coming to grips with the fact that roughly 80 percent of a typical software system’s total cost occurs after initial deployment. Most systems that people work on are in this phase. Many programmers and software designers never get to work on new development—they work under the constraints of the existing archit... See more

Earlier this year we met with our Limited Partners. Their top question was “will the AI transition destroy your existing cloud companies?”

We began with a strong default of “no.” The classic battle between startups and incumbents is a horse race between startups building distribution and incumbents building product. Can the young companies with coo... See more

The median bootstrapped B2B SaaS company currently spends around 90% of its annual recurring revenue on costs—25% on go-to-market strategy and execution, 24% on research and development, 15% on administrative and miscellaneous expenses, 13% on website hosting and implementation, and 10% on customer retention. Each of these categories of cost is now... See more