Refer a Software or IT Services Business Owner
Private equity firms, investors, attorneys, accountants, and other advisors regularly meet business owners whose companies do not fit their current mandate.
The company may be too small for an institutional buyer, outside the firm’s investment criteria, or not yet ready for a formal sale process. That does not mean the owner should be left without a knowledgeable resource.
I work with founder-led software, SaaS, MSP, and IT services companies, as well as selected B2B service companies, that are typically below the minimum size targeted by larger private equity firms and investment banks.
Companies That May Be a Good Fit
I am generally interested in U.S.-based businesses with:
$3 million to $20 million in annual revenue
At least $500,000 in EBITDA or seller earnings
Recurring or repeat customer revenue
An established operating team
A founder considering a full sale of the company
My primary areas of focus include:
SaaS and vertical software
Business software
Managed service providers
IT services and cloud services
Cybersecurity services
Digital marketing and technology-enabled services
Selected recurring-revenue B2B service companies
Not every company needs to meet every criterion. I am happy to have an initial confidential conversation and determine whether the owner has a realistic path forward.
Common Referral Situations
A referral may make sense when:
The company is below your firm’s minimum investment size
The owner has received an unsolicited acquisition offer
The founder is beginning to consider retirement or succession
The owner wants to understand value before making a decision
The company may be saleable but is not ready for an institutional process
A business does not fit your mandate, but you want the owner to receive thoughtful guidance
How I Work With Referred Owners
The first conversation is confidential and exploratory. I help the owner understand:
Whether the company appears saleable
The likely buyer universe
How buyers may evaluate the business
The probable valuation range
Whether the owner should sell now, prepare for a future sale, or continue building the company
I do not pressure owners to begin a sale process. If the business is not ready or the owner’s expectations are not realistic, I will let you know.
When a sale makes sense, I run a disciplined process designed to protect confidentiality, create buyer competition, and help the owner evaluate both price and deal terms.
A Professional Two-Way Referral Relationship
I am also happy to refer larger software and services opportunities to firms whose investment criteria are a better fit.
The goal is simple: ensure business owners are connected with the right resource, even when the opportunity falls outside either party’s target market.
Make a Confidential Introduction
A short email introduction is usually the easiest place to begin.
David Jacobs
Business Broker – Technology Group
DRE# 02097583
(415) 297-8562
david@davidjacobsbusinessbroker.com
