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Ep. 95: Ed Byrne, Scaleworks | Scaling SaaS with Sustainable Growth through Venture Equity

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Content provided by How To SaaS. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by How To SaaS or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

On this episode Shiv Narayanan interviews Ed Byrne, co-founder of Scaleworks, a venture equity firm based in San Antonio.

Ed shares his background as a software entrepreneur and the lessons learned from his experiences that led to founding Scaleworks ten years ago with partner Lou Moorman. The discussion explores the concept of "venture equity" as a hybrid model between traditional VC and private equity, emphasizing sustainable growth over high-risk VC funding. Key topics include the downsides of VC (such as portfolio theory encouraging all-or-nothing scaling), the benefits of bootstrapping or using debt for most software businesses, avoiding premature scaling, prioritizing customer-funded growth, and Scaleworks' approach to acquiring and accelerating 5-10M revenue SaaS companies by building go-to-market teams in-house, bringing in new CEOs, and focusing on levers like pricing, category specialization, and dispassionate product decisions. Ed also covers deal structures, value creation through centralization in San Antonio, resistance to playbooks, and aiming for acquisitions driven by inbound interest rather than fixed timelines.

  continue reading

105 episodes

Artwork
iconShare
 
Manage episode 515220543 series 3521344
Content provided by How To SaaS. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by How To SaaS or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

On this episode Shiv Narayanan interviews Ed Byrne, co-founder of Scaleworks, a venture equity firm based in San Antonio.

Ed shares his background as a software entrepreneur and the lessons learned from his experiences that led to founding Scaleworks ten years ago with partner Lou Moorman. The discussion explores the concept of "venture equity" as a hybrid model between traditional VC and private equity, emphasizing sustainable growth over high-risk VC funding. Key topics include the downsides of VC (such as portfolio theory encouraging all-or-nothing scaling), the benefits of bootstrapping or using debt for most software businesses, avoiding premature scaling, prioritizing customer-funded growth, and Scaleworks' approach to acquiring and accelerating 5-10M revenue SaaS companies by building go-to-market teams in-house, bringing in new CEOs, and focusing on levers like pricing, category specialization, and dispassionate product decisions. Ed also covers deal structures, value creation through centralization in San Antonio, resistance to playbooks, and aiming for acquisitions driven by inbound interest rather than fixed timelines.

  continue reading

105 episodes

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