Comments on: Enterprise SaaS Startups from an Investor’s Point of View http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/ Connecting the dots ... Sat, 21 Nov 2009 06:03:39 -0800 http://wordpress.org/?v=2.8.6 hourly 1 By: Terry Lydon http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-17145 Terry Lydon Wed, 08 Apr 2009 03:31:06 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-17145 Oh, and we got about $18M in VC funding Oh, and we got about $18M in VC funding

]]> By: Terry Lydon http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-17144 Terry Lydon Wed, 08 Apr 2009 03:30:14 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-17144 I started a SaaS company a little over 10 years ago and managed to make it to breakeven in about 6 years and profitable 1 year later. I love the model. Deployments and updates are very easy. In the beginning we had to explain the model all of the time. Now it almost never comes up with our prospects. I started a SaaS company a little over 10 years ago and managed to make it to breakeven in about 6 years and profitable 1 year later. I love the model. Deployments and updates are very easy. In the beginning we had to explain the model all of the time. Now it almost never comes up with our prospects.

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-420 Anonymous Mon, 17 Apr 2006 06:52:48 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-420 I'm not as pessimistic as Stefan about take up and being 'behind' or 'in front' of any particular curve. There is no doubt that explaining SaaS is not easy to many who are rooted in the on-premise world but it is much more about attitudes towards services that should be commoditized, where SaaS fits well for both investors and users. I’m not as pessimistic as Stefan about take up and being ‘behind’ or ‘in front’ of any particular curve. There is no doubt that explaining SaaS is not easy to many who are rooted in the on-premise world but it is much more about attitudes towards services that should be commoditized, where SaaS fits well for both investors and users.

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-419 Anonymous Sat, 15 Apr 2006 13:55:13 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-419 Oh, I didn't realize you were actively doing business in the US - ignorant me. Perhaps we should talk a bit - would you like to ping me with your email address? (mine is avail. from the "About Me" section under my photo. Oh, I didn’t realize you were actively doing business in the US – ignorant me. Perhaps we should talk a bit – would you like to ping me with your email address? (mine is avail. from the “About Me” section under my photo.

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-418 Anonymous Sat, 15 Apr 2006 13:39:22 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-418 Zoli, We are not behind with product development. Our products have been around for a long time, but the acceptance by clients is much better in the US. We do very little marketing in the US, still over 50% of our clients are from the US. Zoli,

We are not behind with product development. Our products have been around for a long time, but the acceptance by clients is much better in the US. We do very little marketing in the US, still over 50% of our clients are from the US.

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-417 Anonymous Sat, 15 Apr 2006 13:24:43 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-417 Oh, well, then look at Mobility, Europe is way ahead of the US... Oh, well, then look at Mobility, Europe is way ahead of the US…

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-416 Anonymous Sat, 15 Apr 2006 06:08:48 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-416 Zoli, That was an interesting reply. We did use 1/3 of our homepage until last week to explain the benefits of SaaS. We only changed last week and now talk about our products instead. I have offered SaaS for five years, and it is only now that poeple slowly start taking notice. Thank you for your insight. Europe is behind the curve again! Zoli,

That was an interesting reply.

We did use 1/3 of our homepage until last week to explain the benefits of SaaS. We only changed last week and now talk about our products instead.

I have offered SaaS for five years, and it is only now that poeple slowly start taking notice.

Thank you for your insight. Europe is behind the curve again!

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-415 Anonymous Fri, 14 Apr 2006 20:36:05 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-415 Stefan, Let me be clear, I also agree with those points, they are, after all based on facts. The point I am making is that whatever the numbers say, VC's or entrepeneuers here (California) don't really go through a comparative exercise, SaaS is about the only software model (other than open source) that gets funded nowadays. I had an interesting experience recently, pitching a European SaaS company to VC's here. Their original business plan and presentation was 80% about explaining the benefits of SaaS in general. Here if you start explaining it to VC's, it almost feels patronizing - they will tell you to skip that part... so I ended up re-doing the presentation. I think there are three distinct levels of acceptance here: 1 - You guys in Europe still have a "hell of a job explaining the difference" 2 - Here in the US, SaaS is mainstream, still in minority in terms of software sold, but anyone in the industry knows about it 3 - VC's invest into the market several years ahead, so the prediction is that in 2-3 years it will be increasingly difficult to sell perpetual licences, which is why they only fund SaaS. Stefan,

Let me be clear, I also agree with those points, they are, after all based on facts. The point I am making is that whatever the numbers say, VC’s or entrepeneuers here (California) don’t really go through a comparative exercise, SaaS is about the only software model (other than open source) that gets funded nowadays.

I had an interesting experience recently, pitching a European SaaS company to VC’s here. Their original business plan and presentation was 80% about explaining the benefits of SaaS in general. Here if you start explaining it to VC’s, it almost feels patronizing – they will tell you to skip that part… so I ended up re-doing the presentation.

I think there are three distinct levels of acceptance here:

1 – You guys in Europe still have a “hell of a job explaining the difference”

2 – Here in the US, SaaS is mainstream, still in minority in terms of software sold, but anyone in the industry knows about it

3 – VC’s invest into the market several years ahead, so the prediction is that in 2-3 years it will be increasingly difficult to sell perpetual licences, which is why they only fund SaaS.

]]> By: Business Certainty http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-421 Business Certainty Thu, 13 Apr 2006 15:10:42 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-421 <strong>Daily SaaS Links for 2006-04-13</strong> [Daily Post from Cesura] SaaS, The Wall Street Journal, and the Legendary Silver Bullet"It might finally be time for people to stop referring to the “hype” surrounding SaaS. It has gone well beyond industry buzz-talk to experience real... Daily SaaS Links for 2006-04-13

[Daily Post from Cesura] SaaS, The Wall Street Journal, and the Legendary Silver Bullet"It might finally be time for people to stop referring to the “hype” surrounding SaaS. It has gone well beyond industry buzz-talk to experience real…

]]> By: Anonymous http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-414 Anonymous Thu, 13 Apr 2006 08:18:42 +0000 http://www.zoliblog.com/2006/04/12/enterprise-saas-startups-from-an-investors-point-of-view/#comment-414 Hi, To compare the to models may be academic from the VCs point of view, but not from the endusers point of view. We have a hell of a job explaining the difference. Once our clients do understand, they love the concept. So I have to agree with the VCs points made in you posting. Hi,

To compare the to models may be academic from the VCs point of view, but not from the endusers point of view.

We have a hell of a job explaining the difference. Once our clients do understand, they love the concept. So I have to agree with the VCs points made in you posting.

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