Blue Horizon’s reading list is a curated collection of articles for SaaS founders and management teams. We are entrepreneurs and operators who have lived through the process of founding and scaling software companies. Here are the articles and resources we found useful this month.
New Tax Rule is Terrible for Software Industry!
On OnlyCFO’s Software World
But a new tax rule that went into effect last year (for tax returns being filed this year) is going to cause lots of pain for software companies. A lot of folks still don’t know about this new tax rule or it’s negative impact on innovative companies. The new tax rule (Section 174) will cause cash burning startups to pay income taxes and greatly increase income tax bills for profitable software companies.
2023 State of SaaS Pricing: How B2B Leaders Use Pricing to Come Out on Top
by OpenView Partners
In 2023, that’s changed. In fact, over 94% of B2B SaaS pricing leaders update pricing and packaging at least once per year, with almost 40% updating as often as once per quarter. When it comes to monetization strategies, B2B SaaS leaders are getting smarter in a tougher market.
▪️ B2B SaaS businesses are operating in a tough macroeconomic environment
▪️ SaaS leaders are leveraging pricing updates in 2023
▪️ Pricing strategies dominating the market (and what you should focus on)
▪️ Free offerings are coming out on top
▪️ Knowing and articulating your value is where the opportunity lies
10 Best Practices for Tailored Shareholder Report Design
by Synthesis Technology
Applying a “rebranding mindset” to Tailored Shareholder Report design can help fund accountant teams to stay organized and ensure the project moves smoothly from one step to the next. While we believe strongly that partnering with a document automation provider with longstanding experience creating and publishing data-driven documents can enhance the process, adhering to these ten best practices can help to minimize avoidable errors and result in a better end product. A well-planned timeline, the provision of layout and style guides, and rigorous testing are essential components of a successful TSR project.
AI’s Efficiency Role in Running Software Companies
by David Cummings
The exciting aspect of technology and considering the future is that these advancements are inevitable. From the perspective of software companies, using AI to enhance business operations, not just the products they offer, will be an intriguing area of innovation over the next decade.
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Blue Horizon acquires and invests in profitable software businesses with stable recurring revenue streams. The Blue Horizon platform combines long-term capital and industry expertise with an operating model that enables businesses and their leaders to focus on growth and profitability.