N-able: Profitable With Potential IPO Aspirations
The N-able Partner Summit wrapped up Oct. 16. But I’m still organizing some thoughts based on interviews with a range of N-able executives and partners — including conversations with N-able CEO Gavin Garbutt and VP of Sales Mike Cullen. Here are some quick thoughts, including the state of N-able’s finances and potential long-term IPO aspirations.
First, some background: Many of the MSP industry’s software providers are privately held, making it difficult to truly determine who is going to be around for the long haul — especially as markets potentially consolidate through potential mergers and acquisitions.
Yes, We’re Profitable
During a conversation on Oct. 14, N-able CEO Gavin Garbutt confirmed that the company is profitable. He says N-able has 114 employees and employment ranks are holding steady — with spot hiring to fill specific opportunities. “I’m a business guy first,” says Garbutt. “We want to remain smart in terms of how we run our business” in the difficult economy.
In terms of a potential long-term IPO, “when the timing and the markets are right, we’d look at a potential Canadian listing first,” says Garbutt.
Still, our conversation stopped short of predicting a time frame for a potential IPO, given the continued uncertainty surrounding financial markets. And Garbutt wasn’t looking to float the IPO idea during our chat. I asked, he answered.
Meanwhile, VP of Sales Mike Cullen made it clear that Europe and Australia have fueled much of N-able’s recent growth. And N-able isn’t alone: As we’ve reported, many MSP software providers have looked toward Australia for new revenue streams. Within the next few weeks, Cullen plans to return to Australia for stops in several major cities.
Back in North America, CEO Garbutt briefly mentioned during a keynote that the MSP market is “broken,” though it’s important to keep his thoughts in context. While thousands of MSPs have succeeded in North America, N-able estimates that managed services reach only 10 percent of the addressable small business market.
In order to reach more small businesses, N-able launched “freemium” software strategy involving endpoint security and remote monitoring software.