The Optima white paper analyzes why SaaS Future of Work businesses command higher valuations than non-SaaS peers. SaaS models benefit from recurring revenue, scalability, global reach, and stronger retention, making them attractive to both strategic acquirers and investors. Valuation dynamics are shaped by the Rule of 40, balancing growth and profitability, with growth often prioritized in favorable markets and profitability emphasized in downturns. US SaaS firms generally outperform European peers due to deeper capital markets, but volatility remains high in this winner-takes-all sector. SaaS businesses that adapt quickly and maintain resilience are positioned for premium valuations.

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