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This is all awesome feedback, thanks!

Follow up question: what is it like building products for acquisition by such organizations? Is this anything like building B2B or B2C enterprise software? What common requirements do orgs put on software or services they want to acquire?



Your welcome.

From our experience building products is much like building for enterprise companies. The sales cycle is still longer than private businesses but it is better than trying to win custom work through RFP's usually.

They will still require some additional vetting usually, like we have had to provide financials a couple of times for larger product sales > $25k so that the County could feel good that we were a solid company and not going out of business the next week. But we even got a deal where we had horrid financials (in the red), we just explained we were still investing in product development etc. Sometimes I think it is more about them checking boxes than someone really evaluating all the points.

It is also not uncommon for them to ask for the software (even a SaaS) to be put into source code escrow so that upon any insolvency (or other triggers) they get a copy of the code. And while you have to arrange it, they all pay for it and pay for the extra time it takes you to manage that process so it isn't a big deal.

Lastly, pricing is really key on these types of products and services. If you can get within credit card purchasing limits for a product or service then the approval process is just getting someone with the card to say yes. For example, say you have a service for $39 a month, that is well within the purchasing card limits monthly for most small County departments. One time purchases are generally set around 249, 499, 999, 2499 because you will find the managers will have a purchase authority up to $250, $500 etc, where it doesn't require any review. This is really the key on how to sell into them without having to be vetted or go through an RFP etc.

Hopefully that helps you some, good luck!




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