David Cummings on Startups

Notes on the ShopVisible Exit

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David Cummings

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Atlanta-based ShopVisible announced yesterday that they are being acquired by Epicor (public filings but privately held) in their press release Epicor to Acquire Industry Leading Cloud Digital Commerce and Order Management Solution Provider – ShopVisible. Epicor has 4,600 employees and is owned by private equity firm Apax Partners. ShopVisible is a specialized ecommerce Software-as-a-Service (SaaS) company led by Sean Cook and Josh Lloyd.

Here are a few details on ShopVisible:

  • Started in 2006 in South Florida and relocated to Atlanta (source)
  • Domain name registered January 26, 2006 (source)
  • 41 employees on LinkedIn (source)
  • Raised $823,000 in equity in 2009 (source)
  • 2013 Venture Atlanta presenting company (source)

While the purchase price wasn’t disclosed, with 41 employees, I’m sure the deal was lucrative. Congratulations to the whole ShopVisible team on the exit.

What else? What are some other notes on the ShopVisible exit?

Comments

3 responses to “Notes on the ShopVisible Exit”

  1. Nick Fraunfelder Avatar
    Nick Fraunfelder

    David,
    You say that 41 known employees indicates a healthy revenue. What is the target headcount to revenue ratio for acquirable SaaS companies?

    Reply
    1. David Cummings Avatar
      David Cummings

      There isn’t a headcount to revenue ratio for companies without scale (say, 150+ employees). Generally, it’s $150,000-$200,000 in revenue per employee, so with 41 employees, they might have a little over $6 million in revenue. The acquirability threshold for a SaaS company is usually around $5 million, so when you clear that, the number of potential acquirers grows significantly.

      Reply
  2. Dave Williams Avatar
    Dave Williams

    My business partner Bryan Kujawski, x-360i invested, hired the exec team, helped lead some business development efforts and was a big part of their success. Josh was the tech founder and started working on the tech in early 2000s. Congrats to the whole team and another win for the ATL!

    Reply

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