Software businesses help their customers improve revenues or reduce costs by facilitating enhanced data management or streamlining business processes. Milestone targets software companies that are typically characterized as having differentiated and valuable intellectual property, well-established customer bases, recurring and highly visible revenue streams, and strong gross margins which can lead to significant operating leverage with scale. Their products can become deeply integrated with their customers’ business processes and result in a high degree of customer retention. Further, many Software companies in the lower-middle-market segment have been founded by strong technical visionaries who often need outside assistance in optimizing the sales and marketing functions to scale their companies and generate both revenue growth and strong operating leverage.

Business Model Attributes

  • Annual addressable market over $500 million
  • Scalable and differentiated technology platform
  • Critical mass of clients with >100% net retention

Sample Industry Segments

  • Cybersecurity
  • Business Intelligence & Analytics
  • Database Management
  • Software Development
  • Open Source
  • Marketing Automation
  • Sales Enablement
  • Office of the CFO
  • Human Capital Management

Select Platforms

Software Team