Taking Software to the world

We recently had the privilege of joining Singapore's SGTech and Microsoft to present a Cloud Appreciation Series: Scaling for Success webinar.

While Singapore's unique environment is a factor, the core of software growth remains the same – focussing on what will grow your product and customer base. That doesn't just put you ahead of your competitors; it also sets you up for success come acquisition time. The rate of growth experienced by software companies plays a vital part in their multiple – that is, how the company's value is determined. Research from Clare Capital tells us that if your growth is less than 15%, you can expect your multiple to be only three, compared to companies with a growth of 50% and above – this sale price could be based on a multiple of over 35*.

Our work with software companies across the growth spectrum has highlighted four factors that are key to growth.

Focus on what differentiates you

Software is a race – the faster you can build your product, the greater your advantage. You could be building a lot, but scaling requires creating only what you should. That means you avoid distraction and focus on your core differentiators.

You need to be always up, always secure and always fast

Some of the best tech products in the world are successful not just because they did something new, but because users could trust that their app would always be fast, available and secure. Users of smaller software applications expect no less ­– you'll need to get the basics right even to compete.

Build for your market - think BIG

The products that grow perfectly solve a user's pain point and are set up for scale. A company built for Singapore will look very different to one with its eye on APAC or the world. Before you begin, consider the markets you'll be scaling into and build for them and their core pain points. Understanding where you're going from the start will prevent you from rebuilding and redesigning your product or platform as you grow. It means you'll remain the best solution for your markets.

Get help to accelerate

While growth is the goal, it's also a risk factor. As you add users, the complexity of your infrastructure grows – meaning more opportunity for error and more time spent managing your platform instead of building your product and customer base. To avoid this, recognise the limits of your in-house expertise – do you have what it takes to manage your platform? Outsourcing expertise ensures you use your time efficiently and protects against failure that can damage your customer loyalty and reputation.

Build once, build well

Underpinning these factors is one core factor – your product. High-growth software companies have software built efficiently, according to market needs and their unique differentiators. They also don't waste time and resources on activities that don't aid growth, outsourcing infrastructure management to experts.