KEY TAKEAWAYS Investors are likely to keep shifting their attention to the private markets for a SaaS acquisition, even if there is a resurgence in the value of public and VC-backed comps. Private equity firms are sitting on close to record sums of capital and have become more efficient in deploying vast amounts across 2021 and 2022. We are also in the midst of one of the largest NASDAQ drawdowns in history. For SaaS businesses, growth at all costs is no longer being rewarded. This will continue to favor companies with high net dollar retention (or low or net negative churn) and strong FCFs. Planning is more important than ever, as those that can get a handle on their metrics, and where to optimize, typically see multiples c.14% higher than others. FE actively encourages valuation and exit planning exercises, and the sooner the analysis begins on the business the higher the likelihood of an above-market exit when the time comes. FE has consistently outperformed SaaS-focused M&A firms in the lower mid-market for over a decade, with the enterprise value of completed deals for SaaS increasing consistently year on year. Between 2021 and 2022, the value of completed deals increased by 51%. For an initial consultation, get in touch with our team of experts in exit planning, valuation, accounting, legal and more. FE International served as the exclusive M&A advisor on the sale of Upright Labs to Cordance. Upright Labs was launched four years ago and offered solutions in the multichannel inventory CASE management software and e-commerce advisory niche. The company supports over 3,000 second-hand retails keep track of their inventory and streamlines their clients supply chain processes. STUDY: Given the businesses many strengths and enterprise B2B solution, FE received a lot of upfront interest in the business with 11 IOI received in the first round of bidding. Four of these were then invited back for second and then final rounds of bidding with an LOI signed by Cordance. Overall, the deal secured represented a 17% uplift on the seller's initial valuation expectations. FE INTERNATIONAL PAGE 13