Why large companies acquire small companies
A Smart Bear: Startups and Marketing for Geeks
MARCH 21, 2017
The reason they want to trade balance-sheet assets for strategy-execution, is that (healthy, growing) software companies are valued on their P&L, i.e. the size and growth of income and earnings. Remember this is revenue , not valuation. Zoom out to see the strategic decision. In no case does it mean $10m/yr or less.
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