About this episode
With regard to finance leaders who are counted among the ranks of today’s SaaS CFOs, it goes without saying that 20 years ago, most were somewhere other than at SaaS companies. In fact, many of them have no doubt arrived inside the SaaS realm only within the past 10 years or so as part of the software industry’s great migration from the model of perpetually selling software to the SaaS subscription model. However, for CFO Bas Brukx, the SaaS world has been home for more than 20 years, a fact that allows him to take a seat alongside other CFOs who can boast of pioneer roots inside SaaS-dom. “We had the benefit of not knowing what we didn’t know,” recalls Brukx, who notes that back in 2002, such a widely used metric as Customer Acquisition Cost was only then just being defined. At the time, Brukx was head of FP&A for Vocus, a SaaS software company specializing in solutions for the public relations and communication industries. “We did a lot of education with analysts and investors,” points out Brukx, who adds that Vocus went public in 2005. He would remain with the company for another 7 years before being appointed CFO of Clarabridge, a small software company aspiring to move to the SaaS subscription model. According to Brukx, he didn’t hesitate to swiftly leave the perpetual model in Clarabridge’s rearview mirror. “We discontinued that perpetual business largely on my recommendation, so I was betting a lot on my reputation—but I felt comfortable about it,” comments Brukx, who says that the decisive move allowed him to position himself as a strategic finance leader at the very start of his CFO tenure with the firm. Subsequently, only 9 months after he joined it, the newly retooled SaaS company raised an $80 million equity investment led by Summit Partners and General Catalyst Partners. Reports Brukx: “That investment and some of their investor expertise gave us the backing that we needed to make the journey from $20 million in revenue to well over $100 million—at which point we were sold.” –Jack Sweeney