Unlocking the Secrets of the Software M&A Market in 2026

Welcome to The SaaS CFO Podcast! In this episode, Ben welcomes back Jim Williams, Managing Director at GLC Advisors, for his fourth appearance to provide an up-to-date look at the software M&A landscape. This conversation dives deep into how the rise of AI is reshaping the market, the evolving benchmarks for software company valuations, and what’s currently defining high-quality SaaS businesses.

Jim Williams shares insights on the barbell effect in multiples, tougher diligence on revenue quality, new questions investors are asking about AI strategy and margins, and how founders can position themselves for the best possible outcomes—whether they're aiming for a solid exit or shooting for that elusive 10x valuation.

Whether you’re a SaaS founder, CFO, or investor, this episode is packed with practical guidance and timely market intelligence you won’t want to miss.

Show Notes:

00:00 AI's impact on market trends

04:06 Impact of AI on business multiples

08:30 AI's impact on SaaS businesses

12:21 Evaluating AI's real impact

15:35 Discussing AI's impact on business fundamentals

17:10 Discussing software company valuations

22:46 Preparing Financials for Buyers

24:27 Focusing on business fundamentals

27:47 Customer segmentation and retention insights

31:19 Discussing growth rates and AI strategy

34:08 Strategizing AI model selection