In this episode of Founded & Funded, Madrona Managing Director Tim Porter and Jama Software CEO Marc Osofsky discuss the intentional strategies that fueled Jama's transformation from $20M ARR to a $1.2 billion acquisition by Francisco Partners. Marc shares his blueprint for scaling with purpose, challenging conventional wisdom, and embedding efficiency into the DNA of a company.
Key Takeaways Include:
Accelerating Growth
Conventional Wisdom: Scale your sales team rapidly to hit growth targets.
Intentional Wisdom: Focus on improving win rates to double or 2.5x your capacity without adding headcount.
TAM
Conventional Wisdom: Prioritize the total size of your market potential.
Intentional Wisdom: Target activated TAM—the demand being addressed in a given year—and aim to capture a larger share.
M&A Strategy
Conventional Wisdom: Burn cash and rely on strategic buyers for exits.
Intentional Wisdom: Achieve profitable growth and rule-of-40 metrics to attract financial sponsors, giving you more control over the process.
Transcript: https://bit.ly/49mMKhp
Chapters:
(00:00) Introduction
(00:52) Challenging Conventional Wisdom
(03:48) Focusing on Win Rates
(06:13) Efficiency and Culture at Jama
(08:45) Vertical Market Focus
(10:49) Geographic vs. Vertical-focused GTM Teams
(15:28) Culture: Jama's Focus on Habits
(19:00) Customer Success Strategies
(21:02) The Francisco Partners Acquisition
(26:12) Focusing on a GM structure
(28:30) Advice for Founders
