# SaaS Finance

> A Complete CEO Handbook

Source: https://valuexpa.com/publication/SaaS-Finance
Publisher: ValueXPA (https://valuexpa.com)

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## Executive summary

It first requires understanding which roles, needs, and paths the business is likely to In recent years there has been a surge in the SaaS economy. Customers are increasingly adopting the subscription-based pricing model to satisfy growing IT needs—despite limited IT budgets particularly for SMBs and startups. According to Gartner, the Global SaaS industry is forecast to grow to $195bn in 2023 from $167bn in 2022. encounter. Eventually, most successful businesses will outgrow their initial accounting staff and need greater depth as the number of dimensions in the financial function increase. If they understand what their eventual needs will be in advance, there are many ways that businesses can take risks and get what they need, when they need it, without financially overcommitting.

## Key findings

- 1. Know how much your business is worth with Management Valuation Analysis Model. 3 2. Know exactly what investors look for before investing. A. Strategic Finance
- What is the business worth each year, based on comparable Peer Transaction multiples?
- What are the key qualitative narratives (eg:Problem statement, Target Customers, Unique Selling Points, Competitive Advantage, Funding Ask etc.) that you would like to share with Potential Investors?
- What financial and operational trends should be shared with Investors?
- How is your business likely to perform in Stressed or unforeseen scenarios?

## Who this is for

This report is for CFOs and finance leaders, mid-market business leaders, and SaaS founders and finance leaders.

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ValueXPA runs a fixed-scope Margin Drift Diagnostic that validates every service vendor invoice against contract terms, for $100M+ US industrial manufacturers and distributors. Two to four weeks. The client retains 100% of recoveries. https://valuexpa.com/contact-us