Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by the_watcher on Friday February 10, 2017 @05:07PM
(#13619325)
Or, given that they've now been profitable for 7 months, they could continue to exist without an exit strategy.
Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by shostack on Friday February 10, 2017 @05:57PM
(#13619661)
How does that work in the VC-funded world?
If a company's growth has dramatically slowed, but they are still profitable (even with a down year here or there), are VC's ok letting them chug along without an exit? My guess would be no and they'd push for some sort of private sale.
Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by argigg on Friday February 10, 2017 @09:40PM
(#13620635)
A company that accumulated enough cash could, in theory, buy out its investors. This would allow an impatient VC fund to return cash without involving any other party. Not sure if a VC-backed startup has ever done this.
Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by skrebbel on Friday February 10, 2017 @01:23PM
(#13617606)
Acquihire? For a company that does $13M annual revenue?
Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by erdojo on Friday February 10, 2017 @01:38PM
(#13617742)
Depends what that $13M costs them. CAC and burn are critical factors in an acquisition.
Re:Change at Buffer: The Next Phase, and Why Our Co-Founder ...
by elsewhen on Friday February 10, 2017 @03:01PM
(#13618395)
a company that offers as a primary feature its ability to post to _multiple_ networks, is unlikely to be able to sell to any of those networks. the acquirer would likely have to be some larger "tools" company.
However when your entire team is remote, that makes these companies steer clear of acquiring you since you won't fit into their culture. So they will go for your competitors with a crappier product, but a local team that they can quickly bring in onsite within a few months.