The company is a scalable, fast-growing cloud automation SaaS provider with a strong focus on efficient data service automation.
It uses open-source technologies to make cloud automation efficient for enterprises. The company’s IP integrated Data Service products are used by large corporations and mid-size companies across North America, Asia, and Europe.
The firm was established more than a decade ago, and through its creativity, it transformed by 2018 into a successful cloud operations provider. In 2019, the company formed a Kubernetes team.
In 2023 the company beat management expectations by 36% to reach $7.0m in revenue and recorded an EBITDA margin of 42%. For 2024, the management has budgeted a realistic $8.1m in revenues, and 3.5m in EBITDA. Between 2019 and 2023, it maintained a stable CAGR of 19.1%, with a client retention rate of 100% over the past three (3) years.
Team: The company is led by an experienced senior management and technical team, with a total of 67 full- and part-time employees.
Services and Clients: The company facilitates client deployment of applications on any cloud infrastructure through its proprietary IP, offering platform-agnostic Platform and Data Services.
Clients include Fortune Global 500 companies in manufacturing, financial services, and automotive industries.
Contracts range from two to seven years, and the company employs a recurring subscription revenue model.
** Confidential information to Qualified Buyers who submit Proof of Funds and a Financing Plan. **
Reason For Sale: The owner aims to partner with a strong buyer to elevate the company's growth trajectory.
Training & Support: The current senior leadership, including the CEO/owner, is highly motivated to continue post-acquisition to operate the business. Management seeks a suitable buyer to partner with in achieving the next growth milestone.
Competition:
With over ten years of cloud computing experience, the company serves diverse clients across various industries. Its IP offers competitive pricing and infrastructure flexibility, with products compatible with major infrastructures (e.g., AWS, GCP, Azure, AliCloud) for public cloud or on-premises services.
Potential Growth:
Current State: The company is expanding its cloud development automation hub, supporting platforms like Cloud Foundry, Kubernetes, AWS, Azure, GCP, and AliCloud. It enhances technical and product scalability with services such as a service marketplace and tenant management. Existing products have a solid track record among mid-size and large corporations, with minimal operational cost increases. The company is committed to ongoing innovation, particularly in integrating Data Services with Kubernetes.
Future State: Future efforts will enhance data management capabilities and introduce new Kubernetes features. The company aims to attract new clients and increase revenue by leveraging existing IPs and marketing new standalone products. A solution for consuming cloud services across multiple Kubernetes clusters will drive sales and add new revenue streams. The company plans to gain 20-100 new customer accounts in 2-3 years, balancing account sizes and reducing risk. Enhanced marketing and sales efforts, potentially with a new equity partner, could significantly grow the company in the next five to seven years.
