Speaker one-sheet / Sam Gaddis
Keynote or executive session
Flagship talk
The Wild Economics of SaaS Replacement
How $1 million in retired SaaS spend can become roughly $8.3 million in enterprise value.
- Format
- Industry keynote, association session, or portfolio briefing
- Length
- 30 minutes plus guided Q&A
- Designed for
- Industry associations, private-equity portfolios, CEOs, CFOs, and operating partners
The question
Can $1 million in SaaS spend become $8.3 million in enterprise value?
The economics of business software changed faster than most company budgets. In the illustrative case, a company retires $1 million in annual SaaS spend with a $500,000 build. The replacement produces about $925,000 in recurring savings. At a 9x multiple, that could add roughly $8.3 million in enterprise value. This session works through the calculation, keeps the cash and valuation cases separate, and shows where the math breaks.
Main example
The $8.3 million line in the software budget.
I work through the full illustrative model: $1 million in annual SaaS retired, a $500,000 build, roughly ten months to project-level payback as contracts roll off, and about $8.3 million in potential enterprise value if $925,000 of recurring savings reaches EBITDA at a 9x multiple.
What people take home
The SaaS Replacement Economics Calculator
- 01
Find the replacement candidates hiding in the software budget.
- 02
Underwrite the cash return and potential enterprise value without counting the same savings twice.
- 03
Sequence one high-confidence replacement while leaving commodity and compliance-heavy systems in place.