Software & IT Service

Beacon began by compiling a fairness opinion to determine the business’ true fair market value and proceeded to compile deliverables and confidentially market the mandate to potential buyers. While conducting the valuation and creating the deliverables, Beacon worked closely with the vendor. This ensured that the deliverables were as informative as possible, to give potential buyers a clear overview of the business.

Beacon has a large network which includes private buyers and private equity firms across North America, and this ensured that the business was pitched to suitable buyers with prior knowledge of the industry.

Companies in this industry develop operating systems, productivity software, database management and business analytics tools, video game software, design software and cyber security software. The industry also includes software consulting firms and packaged software wholesalers. The IT and Software industry is still in its growth phase and faces light regulation. Due to fintech and disruptive technologies like blockchain, the industry is highly dynamic and competitive. Over the last decade, an exponential increase in smartphone and laptop usage has fueled demand for the software industry. While intellectual property and piracy has been a challenge, viruses like Malware and Trojan Horse have pushed consumers to spend on licensed software and antivirus. Going forward, continued reliance on smartphone and laptop usage will continue to generate demand software. Rising disposable income will generate additional tailwinds for the software and IT services industry.