The rapid growth in cloud based storage and applications is changing the way people and businesses interact and access software. It has been called the “driving force in the information technology world” and over 90% of global enterprises report using cloud as part of their business (Economist, 2015). Businesses small and large have been drawn to the obvious benefits from monthly subscriptions, ongoing functionality updates and easy scalability. The accounting industry has been an early mover with the adoption of the cloud, and alongside the likes of Xero, MYOB and Intuit, a range of complementary cloud-based applications have sprung up around them.
SuiteFiles Limited (‘SuiteFiles’) is a software as a service (SaaS) business based in Wellington, New Zealand. With an historic focus on the accounting industry and plans to diversify into other sectors, we offer small and medium enterprises (SMEs) an easy to use cloud-based document management solution that integrates seamlessly with Microsoft 365 and cloud applications (e.g. Xero) to deliver a feature rich piece of essential business infrastructure. SuiteFiles provides SMEs with a file management solution on par with an enterprise grade solution for a fraction of the price.
SuiteFiles was started by the Provoke Group (‘Provoke’) in 2012 following a request from Xero to create a simple cloud-based document management system to partner with their offering. Provoke is a Wellington based IT services business with offices in NZ and the US. They saw the early opportunity in cloud-based software services, and the growth in this industry is forecasted to continue with cloud SaaS services totaling over $99.5bn in 2019, growing to $151.1bn by 2022.
In February 2019 The Group, the parent company of Provoke and SuiteFiles, was sold to San Diego, California based private equity firm Bridgewest Group (‘Bridgewest’). As a result, Bridgewest currently owns 63% of the shares in SuiteFiles.
As of 31 March 2020 SuiteFiles, has over 6,200 paying users, and annualised recurring revenue (ARR) of $1,422,000. Actual total revenue is higher due to additional services, such as migrations which add circa $160,000 per annum to the total revenue and is expected to grow. This strong adoption is backed by favourable unit economics, with a <1% revenue churn, and a customer Lifetime Value (“LTV”) of $32,964 compared to a Customer Acquisition Cost (“CAC”) of $3,200. SuiteFiles has already expanded its business into Australia and the UK with a small team of 12 full-time staff members. We are forecasting revenue growth to $7,759,000 by the end of 2022.
Historic Annual Recurring Revenue of SuiteFiles Subscriptions
Having successfully proven the business model in the accounting vertical and built a
solid platform to scale from, we raised $1,000,000 of growth capital in 2018 at a premoney
equity valuation of $5,000,000.
We are now raising an additional $850k of equity at a $6m pre-money valuation.
$610k has been committed by existing shareholders. This new capital will be used to
fund accelerated growth plans recently created in collaboration with Bridgewest and
approved by the Board of SuiteFiles. Funds raised will be used to both grow our sales
and marketing capability, with a key focus on scaling growth strategies in the Australian
and New Zealand markets to the point where they can then be replicated in other key
geographies, plus continuing to develop our industry leading SuiteFiles product offering.
We invite investors to join us as we continue to scale SuiteFiles, giving more SME’s
worldwide the cloud tools to get their business humming. Bridgewest is keen to support
SuiteFiles with its growth ambitions, and has taken up its pro rata entitlement (62.92%) in
the rights issue, investing $534,800 of additional capital.
Chief Executive Officer & Executive Director
Andrew’s working career began in the early 1990s in the forestry industry before moving to London. With no trees to harvest, Andrew switched careers and became a self-taught programmer working in large investment banks building trading applications. On returning to New Zealand Andrew continued to work for large multi-national organisations in senior
management roles growing large services businesses. Another career change was triggered on completing an MBA and a move into running his own consulting business targeting SMEs. This led to a meeting with the Provoke team and starting SuiteFiles together.
Chief Operating Officer & Executive Director
Doug began his career after completing a computer science degree in the 1990’s and went on to co-found Provoke Solutions. Doug managed many successful development teams across the Provoke Group and knows what it takes to run complex software projects from the ground up. Doug is the brains behind many of the core internal systems at Provoke & SuiteFiles and has responsibility for management reporting. Doug works closely with the SuiteFiles operational team daily to track performance, and to keep the board advised of progress.
Molly began her career working for Australia’s largest energy retailer across several roles in customer service, process improvement, external affairs, brand, & marketing. After 5 years in the energy sector predominantly focused on brand and marketing, she switched to working with several boutique digital marketing agencies focusing on marketing strategies across all digital touchpoints for lifestyle, beauty, and fashion brands. In 2018 she moved from Australia to New Zealand to work for SuiteFiles as their Marketing Manager.
Customer Success Manager
Roshni has a passion for people and software, so heading up the customer success team at SuiteFiles is a natural fit. Her university studies lead her to a fulfilling career in the travel and tourism industry, working in hotels, a consultancy, for an inbound tour operator, and working for the Rugby World Cup Accommodation Bank during the 2011 tournament, before landing a travel software role where she lead the onboarding team as well as honed her product management skills. This experience led her to join the SuiteFiles team in 2018.
Masood is a Founding Partner and CEO of the Bridgewest Group. He manages a portfolio of investments in technology companies, commercial real estate, banking and capital markets. Masood has a wealth of experience in building successful ventures in multiple sectors including wireless communications, pharmaceutical/biotechnology and software, and he is directly responsible for managing Bridgewest investments in these sectors. He has successfully founded many companies, including a global wireless communications services company, a semiconductor technology company, and most recently a large biotechnology services company with global operations that has grown to over 1,000 employees. Through his visionary leadership, Masood has created thousands of jobs globally and significantly improved productivity in multiple industries with the introduction of disruptive technologies. He has been integral in the success of several public and private companies, for which he has received many awards, including Ernst & Young Entrepreneur of the Year award. Masood actively participates in several philanthropic activities and enjoys advising, teaching and mentoring entrepreneurs. He earned a Master of Science degree in Electronics Engineering and a Ph.D. in Mobile Radio Propagation while in the United Kingdom.
Melanie Boudet Hearn
Melanie Boudet Hearn is Bridgewest Finance New Zealand CEO. Melanie is a CA and was admitted as a barrister and solicitor of the High Court of NZ in 2001. Prior to joining Bridgewest Melanie was Head of Research and Analysis, Institutional at ANZ, covering Agriculture, Wholesale and Retail sectors. Prior to that Melanie spent eight years as a bank restructuring specialist in NZ and the UK where she looked after a portfolio of large distressed bank customers covering the UK, Europe, Asia, the Pacific and New Zealand. Melanie was previously an accountant with Deloitte in their tax and consulting teams. Outside of work Melanie is a mum to three energetic children and enjoys the gym, skiing and travelling.
Chief Executive Officer & Executive Director
Chief Operating Officer & Executive Director
EVP, Strategic Investments, Bridgewest Group - Board Advisor
Saeed serves as Operating Partner in multiple portfolio companies with the private equity arm of the Bridgewest Group, and is responsible for driving the growth strategy in close collaboration with the management teams. Prior to re-joining Bridgewest, Saeed was the CEO of Skyriver Communications for over 10 years until it’s successful exit in 2018. During his tenure at Skyriver, he led the company’s growth strategy through its innovative and pioneering ventures in 5G mmW broadband communications. Previously, Saeed was a member of the investment team in Bridgewest, focusing on emerging wireless and semiconductor technologies. Prior to that, he spent 5 years with Wireless Facilities, a global leader in telecommunications services. Saeed has over 20 years of experience operating technology companies and has served on the Boards of multiple companies in various technology sectors including wireless communications, semiconductor and software. He holds Bachelor’s and Master of Science degrees in Electrical Engineering.
Bill Strauss has over 35 years of experience in starting, operating and growing many successful private and public companies. As the Co-founder and CEO of ProFlowers.com/Provide Commerce (NASDAQ:PRVD) , Bill’s vision revolutionized and helped reshape the future of the online flower industry. Headquartered in San Diego, the company’s e-commerce platform eliminated middlemen and gave customers direct access to the world’s best floral growers. Bill’s leadership and business model greatly reduced and eliminated many typical costs factored into traditional retail business models, resulting in a much better quality product at a lower cost to consumer. Prior to ProFlowers.com, Bill was a member of the senior management at Intuit where he built the infrastructure that supported the growth from $50 million to $750 million in annual revenues in less than 5 years. Bill also served as the Vice President of Operations for Hanover Direct in the early 90’s, where thanks to his excellent leadership the company saw growth from $250 million to $1 billion in annual revenues in just over a three-year period. Bill served as a board member for ServiceNow (NYSE:NOW) from 2011-2017 where he served as Chair of the Nominating and Corporate Governance Committee and a member of the Audit Committee. He was also CEO for Shoedazzle.com. Bill holds a bachelor’s degree in Accounting from Syracuse University.
Themos has been in technology since 1991, when he started his career in the Washington DC area. He has worked across several industries, including medical, automotive, consumer electronics, financial services, public utilities, government, and entertainment. He has spent many years in Management Consulting and has led transformation initiatives at numerous Fortune 2000 companies. In the last seven years, he was exclusively worked with leading SaaS businesses, serving as a C-level executive and board advisor. He has led 12 M&A transactions and is well versed in the Private Equity model of growth and transformation.