Welcome to the TechCrunch Exchange, a weekly startups-and-markets newsletter. It’s inspired by the daily TechCrunch+ column where it gets its name. Want it in your inbox every Saturday? Sign up here.
Anna is out this week, so I’m back in the saddle for today. Here’s about 1,000 words on something that I’ve been chewing on for a few weeks! — Alex
Under pressure
Modern software companies grow in two key ways. They sell their products and services to new customers, and they sell more of the same to existing clients. The latter category is important as it helps with growth, and profitability.
It’s simple enough to understand: As SaaS companies sell their code on a subscription basis, they collect revenues over time. This means that sales costs are upfront and the revenue trails. The upside of having a subscription revenue stream over a one-time sale, even if the latter might be more convenient for cash fl …
