Venture Capital
SaaS Group is a Berlin-based acquirer and operator of vertical SaaS businesses, founded in 2018 by Tim Schumacher and partners. The company buys profitable or near-profitable SaaS products generating between $1 million and $10 million in annual recurring revenue, operates them indefinitely under their original brand names, and reinvests operating cash flow into further acquisitions. Its model is explicitly modeled on Constellation Software rather than a private equity fund structure: SaaS Group holds companies permanently, never flips them, and always acquires 100 percent of the equity.
As of mid-2024, SaaS Group has completed 20 acquisitions, and its portfolio companies collectively generate $60 million in combined ARR with more than 300 employees across the group. The parent company targets a 20 to 30 percent EBITDA margin across the portfolio and describes itself as profitable. In early 2024, SaaS Group closed its first-ever external equity round, raising $25 million by selling a single-digit percentage of the parent company to a group of experienced SaaS entrepreneurs.
The portfolio includes brands such as Dash This, UserSnap, Scraper API, Rewardful, Prerender, Zenloop, and DeployBot, among others. Acquisition multiples typically range from 2x to 4x ARR, and deals are financed through a combination of operating cash flow, a pre-approved debt facility, and the 2024 equity raise. Two portfolio companies, Zenloop and Crostalon, were acquired out of insolvency proceedings.
