I'm really behind on podcasts, because I'm spending more time working than absorbing right now. But this podcast: investorfieldguide.com/baker2/ makes a really really interesting argument re: SaaS.
It's only a short part of episode, but Baker's argument is hella intriguing. (1/3)
Conversation
The gist of it is that Baker thinks SaaS wasn't a sector in 08, so comparisons to SaaS perf in 08 is not a good comparison.
Because SaaS is more widespread today, CFOs will target it as a specific category to cut costs. In the episode, Baker already has anecdata. (2/3)
1
2
In practice, it might not be cancellations so much as loosening of payment terms. This in turn implies that SaaS companies may have a cash flow problem in a couple of months.
This is not the only take on SaaS in the coming recession. But it is a compelling one. (end)