It's been roughly five months since Autotask hired Mark Cattini as CEO and Bob Godgart transitioned to Chairman and Chief Visionary Officer (CVO). Based on a few educated guesses and some background conversations at Autotask Community Live, I think it's safe to say Godgart will symbolically hand the leadership baton to Cattini on Monday, May 23, and I suspect Godgart will step away from day-to-day Autotask operations really soon.
Let me be clear: I'm not suggesting that Godgart is fully leaving Autotask. Instead, he will focus on the chairman post -- working on boardroom activities that assist Cattini rather than day-to-day activities at Autotask. Company insiders say the CEO transition from Godgart to Cattini has been "very ordinary, very predictable."
Take a quick look at the Autotask Community Live agenda and you'll notice that Godgart is now scheduled to keynote first -- sharing a seven-part vision on the industry and Autotask. Then, he'll symbolically hand the leadership baton to Cattini -- who will address the Autotask community for the first time on Monday.
This evening, Godgart was remarkably relaxed while touring the Autotask Community Live evening reception -- though I didn't speak with him directly about the CEO transition and his long-term role at the company.
Reality CheckSo what's the state of Autotask's business? Here are some educated guesses...
- Autotask is roughly a $20 million company and remains in growth mode -- though I don't know how quickly the company is growing.
- Godgart will remain chairman for the long-haul I think. But in terms of overall business decisions, Cattini is now in the driver's seat.
- I believe Autotask's venture capitalists remain committed for the long-haul. I don't sense that the venture capitalists are looking for a near-term exit strategy.
- In terms of long-valuations Autotask seems to have its eye on NetSuite -- the publicly held SaaS ERP provider -- as a sample comparison. Publicly held NetSuite has a price to sales ratio of 11.73, according to Yahoo Finance. Assuming Autotask is about a $20 million company, it sounds like Autotask could be worth about $220 million to $240 million -- and each new $1 million in revenue raises the valuation by $10 million to $12 million.
- It sounds like Cattini's mission is to grow revenues rather than IPO or sell the company near-term.
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