Get Rich Slow And Steady in Software

Sneak peek at future of SaaS investing — Tiny Capital and Buffer

Photo by Helena Lopes, via Pexels

2010s was a unicorn decade. 2020s — might belong to a humble thoroughbred… with a golden horseshoe.

Get Rich Fast

Launch quickly. Raise a lot. Iterate. Scale, scale, scale. Then… exit, at sky-high valuation.

That has been the battle cry of 2010s. Big payout, but also — significant volatility. Few companies make it to the finish line.

New Asset Class?

Another breed of a tech company — grows at its own pace. No turbocharging. Often, bootstrapped. Focused on reaching break-even. And, upon becoming profitable — it can start paying dividends.

As an investor — what are you looking at here? Think: mature SaaS companies. Subscription-based revenues. Recurring, and relatively predictable. Stable gross margins. Ongoing costs of maintenance, and development… Need to keep those API running, and execute on new features. Profitable, and able to return funds to shareholders. Think: cashflows over time. Get rich slow.