Latka sat down earlier this year with BRITech Global CEO Yuryi Ferber to discuss the growth and success of this B2B SaaS platform for investment managers.
BRITech Global is a SaaS company founded in 2014. The business provides a platform with advanced connectivity, configurability, and capabilities for investment managers in Brazil, LATAM, and the US. The platform is a B2B software that helps investment managers. It features tools like an investor portal, reporting and analytics, structuring and compliance, investor management, portfolio management, risk evaluation, and trade order management.
CEO Yuryi Ferber is a successful entrepreneur with over 20 years of experience in the investment management space. He is also the former CEO and founder of YMF and a respected advisor on IT best practices for the finance industry.
BRITech Global has been an impressive SaaS company since its founding in 2014, and today’s statistics show how BRITech manages to make a well-respected name for itself.
- Reached $10m in ARR with 70% growth over the past year on a $3m initial investment
- Began a new round of investment with $50m and a target of an $80m pre-money valuation
- Profitable since 2018 with 15% EBITDA and $130k in gross profit
Let’s take a deeper look into the numbers and see how BRITech Global managed to become profitable with 70% growth, and how their growth strategy for the future has opened up another round of investment.
How BRITech Global Reached $130k Profit and $10m ARR
BRITech Global provides essential tools and SaaS to investment managers. The platform has a wide range of functionality with industry-leading customer satisfaction and hands-on support and provides solutions for family offices, wealth management, asset management, fund managers, brokers and distributors, custodians, and financial planners. BRITech Global has been a profitable company since 2018, taking $1.5m to the bottom line this year. Currently, BRITech Global makes around $130k in annual profit.
BRITech Global has a net dollar retention rate annually of 128%, with 4%/year of gross churn already accounted for. The goal for BRITech is to reach a net dollar retention rate of 130%/year, a goal they are hoping to reach by the end of this year.
As a SaaS company for investment managers, BRITech Global has almost $5b in AUM just on early and new funds with a lot more than that on other funds. BRITech is about to break $10m in ARR, up from $7m last year and $5.5m in 2018. This incredibly impressive growth of 70% year after year comes from an initial investment of only $3m in 2015 when the company was founded.
New Investments in Acquisitions Mean Raising $50m in Pre-Money
With a strong focus on growth, BRITech Global is selling around 30% of the business to begin implementing an aggressive growth strategy centered around making additional acquisitions. This new round of investment is currently at $50m with a target of $80m in pre-money valuation and an end goal of doubling the business each and every year.
Rather than purchasing investment or consulting companies, the BRITech acquisition strategy entails buying product companies in the investment management space that complements the current BRITech product portfolio to create additional product lines and synergies.
While the goal is to buy companies within the space, Yuryi and the BRITech team want to avoid purchasing companies that have the same or similar products to the current BRITech global portfolio. This will allow BRITech to expand its offerings without doubling up on the same solutions.
The current cap table on BRITech’s equity breaks down as follows:
- CEO Yuryi Ferber: 54%
- Team and Executives: 12%
- Seed: 34%
Everyone who currently has an equity stake is willing to dilute their shares in order to achieve the new growth and acquisition goals that BRITech Global is investing in. The plan is to take $10m in debt and $40m in equity to ensure that both the team and investors are happy and the overall investment goals can be reached in a timely manner to begin the acquisition strategy.
How BRITech Global Reached Over 350 Customers
With 40% of revenue invested in growth, the BRITech Global team works hard to bring in new business and achieve growth goals. Currently, BRITech has around 120 employees, primarily located in Brazil, with 35 software engineers and 35 sales representatives. Sales are primarily focused on Brazil, LATAM, and United States companies.
Sales reps are located around the globe, and around 20 reps have a quota to hit. Those sales team members have, on average, a $24k fixed income base with a sales quota of $72k ARR. If the target is hit, the sales rep will make 20% additional or around $4k in commissions.
BRITech makes about 20% of their business in upsells to current clients. Their line consists of over 30 products and features, with the other 80% of business in new clients and accounts. BRITech takes a 0.05% percentage of AIM for new entrants. The business has a wide range of customers, paying anywhere from $5k/year up to $300k/year at the highest ACV.
Interviewing Yuryi with 20+ Years of SaaS Experience
Yuryi’s experience as a trusted advisor in the investment management space gives him additional authority in the industry. Before being the CEO of BRITech Global, Yuryi was the CEO and founder of YMF. YMF was a leading financial software company with 300 employees that was eventually sold to TOTVS. Before founding YMF, Yuryi also spent eight years at the investment bank GARANTIA as a Trader and Portfolio Manager.
Here are a few quick fun facts about Yuryi:
- Favorite Business Book: Most recently Yuryi enjoyed reading The Founder’s Mentality by Chris Zook and James Allen
- Favorite Online Tool: Calendly, since Yuryi currently doesn’t have an assistant or secretary to help him
- Average Hours of Sleep a Night: 7-8 hours every night
- Family Life: Married with 3 grown children
- Age: 57
When asking what Yuryi wished he knew at 20, the answer was similar to previous interviews. Yuryi wishes he had learned more about SaaS early on to succeed faster later in life. However, his success with his previous entrepreneurship endeavors and BRITech’s incredible current growth shows that it’s never too late to get started with SaaS and business entrepreneurship.