Monthly Archives: March 2017

2016 Trends from PitchBook’s VC Valuations Report

PitchBook just released its 2016 VC Valuations Report, which summarizes the Venture Capital (VC) investment landscape for 2016. The report includes an overview of VC deal activity and valuations by stage. Here are a few trends in the venture financing landscape.

1. Alternative financing sources have changed the profile of early stage (particularly seed stage) start-ups. The median deal size and post-money valuations of seed stage start-ups have increased in one year from $1.0 million to $1.5 million, and $6.8 million to $8.0 million, respectively. The median seed stage post-money valuation was only $6.0 million in 2014. This run-up in …read more

Read more here:: Beyond The Numbers

Valuation Drivers: KEYW’s $235M Acquisition of Sotera Defense Solutions

The federal market is a prime example of an industry where companies have turned to inorganic strategies to drive growth. This is especially true in the lower middle-market contracting community ($50.0 million – $1.0 billion in revenue) where the need to scale to compete in an evolving industry has become more prevalent. KEYW’s recently announced acquisition of Ares Management, L.P. Portfolio Company, Sotera Defense Solutions (Sotera) serves as an excellent case study for owner-operators who are striving to build value in their business.

The publicly disclosed total cash purchase price of $235 million (~9.8x 2017E adjusted EBITDA, net of expected present …read more

Read more here:: Aronson Capital Partners

Aronson Speakers in the Community

Aronson’s experts are helping companies expand their approach to government contracting. Join Aronson as we speak at the following events in April:

April 5, 2017 at 11:00 am ET | Free Webinar: The Ultimate Compliance Test: Understanding GSA OIG Pre- Award Audits

April 12, 2017 at 1:00 pm ET | Thompson Webinar: Budgeting Indirect Rates: Making Contracts More Compliant, Competitive and Profitable

April 19, 2017 at 11:00 am ET | Free Webinar: The Ten Commandments of GSA Schedule Compliance

April 27, 2017 at 11:00 am ET | Free Webinar: SOC Reports 101— Boost Your Business’ …read more

Read more here:: Government Contracting

Association Membership Trends to Watch

A recent member survey conducted by Member Zone, revealed some interesting statistics. Of the 1,070 associations surveyed, 58% reported membership levels remained flat or declined. Here are the top five reasons members gave for not renewing a membership:

  • Budget cuts
  • Lack of value — little or no return on investment
  • Lack of engagement/interest
  • Lack of time to participate
  • Cost

The most common renewal method was email, which 68% of Associations used. The top tactics for new member recruitment were word of mouth, events & meetings, email, trade shows & conferences, and social media. Perhaps individual phone calls to non-renewing members would have been better …read more

Read more here:: Nonprofit

Labor Law Skeletons Avoid the Spotlight: Obama’s Fair Pay and Safe Workplaces Executive Order Revoked

President Trump revoked the Fair Pay and Safe Workplaces Executive Order 13673 on March 27, 2017, and ordered that any associated rules and regulations be rescinded. The order required federal contractors to report labor law violations at the time of contract bidding and semiannually thereafter to include: 1) civil judgements, 2) administrative merits determinations, and 3) arbitral awards including awards that are not final or are subject to court review. The rule never went into effect as a federal district court in Texas filed a preliminary injunction on October 24, 2016, the day before …read more

Read more here:: Government Contracting