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How I Exited For $200m

A sale to EMC, 400+ investments as an advisor, and the new market that pulled him back in with $12.5M

Jon Darbyshire · SmartSuite

Published September 1, 2022
About this resource

Jon Darbyshire CEO of SmartSuite shares the three Part Story of how he:

- Founded a SaaS business that became and industry leader and sold to EMC for $200m

- Transitioned from operator to advisor role and invested in over 400 companies directly or thought venture funds

- Identified a new market opportunity, and couldn’t wait to jump back in and personally invested $12.5M

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What you’ll learn

Jon Darbyshire explains SmartSuite’s customer focus, selective use of capital, and deliberate approach to winning larger accounts. The conversation also covers product architecture, affiliate distribution, and the competitive ambition behind the company story.

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Key moments

Find the ideas you need and go straight to the source.

Raise capital selectively

“priced at fifty thousand dollars a pop an average customer for us was around four hundred grand with some add-ons uh that were there okay and i'll tell you the story and how we sold that in a minute which is interesting as well so here's kind of the basics of the story so my background prior to founding archer was i had the opportunity to build the global cyber security practice at ernst young and i had the chance to travel the world we had about 1500 consultants in that practice i meet with customers to”
Watch at 02:56

Focus the ideal customer

“and then onboarding companies that were acquired uh by the organization so this deck this memorandum that we put together allowed us to get an offer for 187 million but what was key when when we got to the loi here is that we also got to keep the cash that was in the business so the deal was really north of 200 million because of that simple item and the way we got to that point and it's key for a”
Watch at 09:13

Win enterprise credibility

“then if we go to the next slide talk a little bit about because there's a lot of people here building inside sales teams which is your third lesson learned here talk to us a little bit how you structure that inside sales team how many reps quota targets things like that sure so one of the lessons learned was that we should have done inside sales earlier bain capital came to us and said hey this is a growth engine you really need to get going we had four sales reps that made up the in the 2008 number that you see there we had seven sales rep that made up the”
Watch at 15:35

Improve product architecture

“you went this route i mean you had what are the numbers you hired hundreds of contractors yeah so we basically we have no employees in place i have two co-founders we hired teams of people inside of companies i think we have five different main companies that we work with from a development perspective so we have a mobile team we have a web team we have names because people are on the computers what's the mobile team you used yeah so we use e-creative out of ukraine i'll talk about ukraine in just”
Watch at 21:57

Build affiliate distribution

“mention that at the end it's they're in a difficult spot and you know they're people just like us they talk like us work like us i mean they're just normal people they wake up one day and they're getting bombed and we have people in cities that that don't have places to live anymore they don't have gas electric power they're cooking outside with fire they can't leave the cities that they're in it's just incredible some people we can't communicate with for two three days at a time until they get a mobile single to to just send a text to let us know that they're okay”
Watch at 28:09

Three Part Story

“Founded a SaaS business that became and industry leader”
Read slide 2

We had optionality because of profits

“We had optionality because of profits”
Read slide 11

The Advisor and Investor Story

“The Advisor and Investor Story”
Read slide 16

Over 200 Workflows

“Teams can select from over 200 workflow templates or create a new workflow - in minutes”
Read slide 21

In summary, I just showed you

“In summary, I just showed you:”
Read slide 25

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Resource files

  • Video

    Watch video

  • $187m Exit Memo

  • How I Exited For $200m - Slide Deck

About the speaker
Jon Darbyshire

Jon Darbyshire

Co-founder and CEO · SmartSuite

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Jon Darbyshire is the co-founder and CEO of SmartSuite. Jon is an entrepreneur, product designer, and investor. Jon has a passion for designing and creating software that enhances the productivity of people and teams - by aligning their work around common goals. In 2021, Jon and his team launched SmartSuite, the work management platform that manages any process, from any industry, on one platform. Now, SmartSuite unites essential elements used to get work done, regardless of company size or type.

Company revenue
$4.2M
Team size
200

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Each slide with a short explanation of what it shows. Open the slide text for its exact wording.

26 passages

From Archer to SmartSuite

  1. Slide 1Open deck
    Slide text

    March 2022 March 2022 | Jon Darbyshire, CEO of SmartSuite Jon Darbyshire CEO of SmartSuite How I Exited For $200m Why I spent $12.5m on new MVP

  2. Slide 2Open deck

    A founder journey across three roles

    Darbyshire frames his career as a shift from building Archer, to advising and investing, then returning to operate SmartSuite. He says Archer sold to EMC for $200m, he invested in over 400 companies, and he personally put $12.5M into SmartSuite.

    Slide text

    Three Part Story Founded a SaaS business that became and industry leader Sold to EMC for $200m A typical founder journey Transitioned from operator to advisor role Invested in over 400 companies directly or thought venture funds Identified a new market opportunity, and couldn’t wait to jump back in Personally invested $12.5M Operator Investor / Advisor Operator

  3. Slide 3Open deck

    Archer revenue accelerated over time

    Archer's revenue rose from $0 in 2000 to $32,490,000 in 2009, with growth becoming especially steep in the final year shown. The chart presents a company that expanded from a small start into a large business.

    Slide text

    Archer Revenue Growth … this was the last company I founded

  4. Slide 4Open deck

    Archer connected risk and compliance work

    Archer's product suite grouped policy, threat, asset, risk, incident, vendor, and SOX compliance management around one framework. The diagram positions those workflows within broader enterprise risk and compliance.

    Slide text

    Our product suite

Building and exiting Archer

  1. Slide 5Open deck

    Archer grew from a focused GRC idea

    Archer began with a services-led security and compliance opportunity, then turned the idea of managing security like a business process into a product company. The slide highlights bootstrapping, focused markets, recurring revenue, and an eventual sale to EMC.

    Slide text

    The Archer Story The Opportunity Services only approach to solving security and compliance concerns From Idea to GRC Industry Leader The Idea Manage security like any other business process The Challenge Companies wanted to use slightly different processes Boot Strapped Sold first customer before writing a line of code Market Focus Financial services, technology, healthcare, telecom, pharma Renewal Rates 97.6% over 9 years Series A Partnered with Bain Ventures in year 8 Revenue $40M ARR - profitable from year 1 The Exit Sold to EMC for $200M in year 9 Part 1

  2. Slide 6Open deck

    A buyer-ready story supported the offer

    Darbyshire says a 100-page document helped secure a $187m offer by combining storytelling with proof. Its customer and industry analyses show how the company made its market and revenue mix legible to a buyer.

    Slide text

    Archer Revenue Growth … this was the last company I founded 100 pages we used to get $187m offer This was the magic document - lots of storytelling and proof 2008

  3. Slide 7Open deck

    Policy management anchored the GRC suite

    The policy-management example connects centralized policies with standards, regulations, employee awareness, and compliance reporting. It presents one product area as part of Archer's broader risk and compliance framework.

  4. Slide 8Open deck

    Redundant infrastructure supported production

    Archer's hosting diagram routes internet traffic through primary and secondary firewalls and load balancers to a web server farm. Content indexing, file storage, and a two-node database cluster connect to that core.

  5. Slide 9Open deck

    Milestones tracked Archer's expansion

    The timeline follows Archer from its 2000 founding through product additions, customer wins, hiring, and industry recognition. It shows the company broadening its offering and customer base over successive years.

  6. Slide 10Open deck

    Retention supported recurring revenue

    Archer's financial summary links strong client retention and annual license renewals to a recurring revenue base. The table places historical results beside projections, with revenue and EBITDA increasing across the periods shown.

  7. Slide 11Open deck

    Profits gave Archer more options

    Archer's EBITDA chart rises overall and reaches $10,414,000 in 2009, after several years of positive results. Darbyshire emphasizes profitability as a source of strategic flexibility.

    Slide text

    We had optionality because of profits … absolutely key

  8. Slide 12Open deck

    Archer received a $187m offer

    The slide marks a 2009 exit decision with an EMC offer letter. The highlighted terms show a proposed cash acquisition, connecting the offer to the revenue-growth story.

    Slide text

    Archer Revenue Growth … this was the last company I founded $187m Offer We decided to exit in 2009 2009

  9. Slide 13Open deck

    The offer began with due diligence

    The letter describes EMC's non-binding acquisition proposal and outlines next steps for diligence, approvals, and definitive agreements. It also notes that the buyer wanted to retain the founder and employees.

What Archer did right

  1. Slide 14Open deck

    Customer focus shaped Archer's execution

    Archer paired close observation of customer needs with focused selling, daily internal product use, and customer training. The slide also credits talent development, analyst relationships, user groups, conferences, and partners with supporting the business.

    Slide text

    Things We Did Right There is more to a SaaS company’s success than “Product Features” Learned From Our CustomersI camped out at customer sites and watched how they used our product Focused Sales StrategyFocused first on top 30 financial services companies in US Used our Own ProductEvery person in our company used our product daily - no exceptions Detailed Customer Profiles“Hug Your Customer” training to teach employees how best to engage with our customers Invested in Our PeopleHired from IBM, Accenture, Deloitte, EY, PWC Associates ProgramHired from local colleges - partnered with professors Simple Hiring MetricsEvery 100K in revenue meant we could hire a new employee Analyst RelationshipsHelped define new market category (GRC) Partnered with BainHelped us better understand our business / customers User Group ChairmanChief Information Security Officer (primary buyer) - two year term User ConferencesAnnual 3-day event with customer key notes and breakouts Partner NetworkArcher Certified Professionals - there are now over 10,000 of them

Lessons for the next company

  1. Slide 15Open deck

    Build for scale, markets, and process

    Darbyshire names architecture, localization, and inside sales as areas Archer could have handled better. He argues that performance and scalability are hard to retrofit, global readiness takes planning, and sales process matters alongside hiring.

    Slide text

    3 Lessons Learned Things we could have done better Architecture Matters Speed, performance and scalability are features 1, 2 and 3 Do it right now, or you will pay for it later Internationalization / Localization The global market is bigger than the US market Much harder to implement this later Inside Sales The process is as important as the people you hire Hire in 3’s, as great sales rep’s like to compete

  2. Slide 16Open deck

    Advising worked when he could add value

    Darbyshire says he cared about advising founders when he could help, enjoyed investing in promising companies and teams, and liked board work. His motivation remained building software with smart people.

    Slide text

    The Advisor and Investor Story …builders get bored “advising” I “care” about advising founders - when I can add value I “enjoy” investing in interesting companies and teams I “like” serving on boards (sometimes) I have a “passion” for working with smart people and creating software that people love to use! PART 2

Investing in the SmartSuite MVP

  1. Slide 17Open deck

    The story turns to SmartSuite

    This section introduces SmartSuite and the decision to spend more than two years and $12.5M building its MVP. It shifts the talk from Archer's exit to the next operating chapter.

    Slide text

    The SmartSuite Story Part 3 Why we worked for over 2 years and invested $12.5M in our MVP

  2. Slide 18Open deck

    Disconnected tools create workflow silos

    The market-analysis diagram links separate tools to duplicated work and a lack of shared information, then proposes connecting workflows in one space. It notes that employees use 6-8 tools on average and that new workflows often bring another tool.

    Slide text

    Lots of tools Market Analysis To many point solutions are causing inefficiencies in the way teams get work done. Employees use 6-8 on average New business workflow, means new tool More tools means more silos Lots of “duplication” and waste No single source of truth All workflows, one space Connect workflows so no duplicates Easily add new workflows CURRENT STATE PROBLEM SOLUTION

  3. Slide 19Open deck

    One platform could cover most capabilities

    The proposed solution brings 90 - 95% of common product capabilities into a single platform. The image contrasts a collection of separate software tools with a unified work-management interface.

    Slide text

    The Solution Provide 90 - 95% of these product capabilities in a single platform

  4. Slide 20Open deck

    One platform spans team workflows

    SmartSuite presents work management as a shared platform for planning, tracking, and managing workflows. Its feature map includes dashboards, reporting, collaboration, permissions, automations, integrations, forms, and mobile access.

    Slide text

    The SmartSuite Platform A unified work management platform that enables teams to plan, track and manage any workflow

  5. Slide 21Open deck

    Templates cover many team workflows

    Teams can choose from over 200 templates or create a workflow in minutes. The examples distinguish reusable business processes, such as support and customer work, from industry-specific workflows such as construction.

    Slide text

    Over 200 Workflows Teams can select from over 200 workflow templates or create a new workflow - in minutes Core Business Workflows Industry Specific Workflows

  6. Slide 22Open deck

    The interface centers the people doing work

    The product is presented as an interface designed for the people doing the work. Layered task boards, maps, plans, and records illustrate different workflows gathered in one workspace.

    Slide text

    Next Gen User Interface Designed for the people that do that work - ages 23- 38

  7. Slide 23Open deck

    Early traction supported the MVP bet

    Darbyshire's takeaways are that a $12.5m MVP investment was justified, pricing started at $10/mo/user, and SmartSuite had over 600 active trials in its first 6 weeks. He also cites 300 partners and comparison sites as early growth channels and says Seed/Series A discussions were underway.

    Slide text

    Key Takeaways $12.5m on MVP isn’t crazy Pricing starts $10/mo/user, up to 10k users Over 600 active trials in first 6 weeks 300 partners, comparison sites key to early growth Seed/Series A discussions now

  8. Slide 24Open deck

    Two books for founders

    The recommended reading pairs Jack Mitchell's Hug Your Customers with Malcolm Gladwell's Outliers. The slide positions both as books founders should read.

    Slide text

    Recommended Founder Reading 2 books every founder should read

  9. Slide 25Open deck

    A founder moves between building and investing

    The recap returns to three roles: building Archer, advising and investing, and operating SmartSuite. It summarizes the journey through an exit, investment activity, and a return to a new market opportunity.

    Slide text

    In summary, I just showed you: Founded a SaaS business that became and industry leader Sold to EMC for $200m A typical founder journey Transitioned from operator to advisor role Invested in over 400 companies directly or thought venture funds Identified a new market opportunity, and couldn’t wait to jump back in Personally invested $12.5M Operator Investor / Advisor Operator

  10. Slide 26Open deck

    Darbyshire closes with thanks

    The closing slide thanks the audience and identifies Darbyshire as SmartSuite's CEO. It leaves the audience with the talk's focus on building the next company.

    Slide text

    March 2022 | Jon Darbyshire | CEO Smartsuite | [redacted email] Jon Darbyshire CEO of SmartSuite