What’s Your Exit Strategy?

HOSTINGCON | JAD JEBARA | CEO | TUANGRU

Industry is Consolidating Record number of M&A activity

§  High profile §  Technology-based §  Security-based §  Scale-based

Exit Roadmap 1.  Decide on your path 2.  Assess where you are 3.  Kick-start the process

1. Decide on Your Path

§  Technology platform §  Product portfolio §  Scale

§  Niche §  Geographic expansion §  Talent

Why would your company get acquired?

2. Assess Where You Are § Know and understand your numbers § Compare yourself against the best § Form connections

Revenue & Customers Understand Your Revenue

§  How are you growing? §  What is driving your

growth? §  What needs to change?

Understand Your Customers

§  Age §  Profile §  Profitability

CAPEX & EBITDA CAPEX

§  % of Revenue §  Maintenance vs. Growth

EBITDA

§  Margin & Flow-through Revenue Per Employee

Admin & Legal §  2-3 years audited financial statements §  EBITDA and Adjusted EBITDA §  Deferred revenue §  Form the right connections with advisors