The Inside Story

Lateral thinking and bending the script are needed when selling a unique asset like this company. Instead of approaching a wide market of potential buyers, Sequoia targeted a hand-selected group of companies whose core competence, vision, and ability to execute could deliver the highest value to our client.

Moreover, our client wanted to continue with the combined company for the foreseeable future, so finding a strategic partner with a compatible culture and ambition was critical. Several frogs were kissed over many months until the right partner based in the U.K. was found.

On more than one occasion our client felt that finding this right partner might be elusive — but patience, persistence, dedication, and hard work delivered.

Founded:

2007

Employees:

42

Affiliation:

Non-union

Revenue (CAD):

$7.6 million

EBITDA (CAD):

2.4 million

Key Strategic Highlights

Enterprise Clientele

Clients were predominately enterprise-level with significant digital marketing budgets.

MRR Model

85% of revenue was recurring from monthly subscriptions.

Scalability

Services were productized in order to achieve scalability in the business model.

Sales Opportunity

The company was a technical organization and not sales orientated, presenting a tremendous growth opportunity for a sales inclined buyer.

Currency Advantage

The overwhelming majority of revenue was denominated in US dollars, while all expenses were in denominated in Canadian dollars.