Slide 1: Asure Software Investor Presentation August 2009
Asure Software Investor Presentation August 2009
Slide 2: Asure Software Presentation Introduction
Asure Software Presentation Introduction About Asure Our Market and Market Drivers Market Opportunity Target Market Market Landscape Marketing & Distribution Marquee Customers Revenue and Profitability Outlook Why Asure’s Board and Management Team? Risks of Dissident Group
Slide 3: Introduction
Introduction Asure Software is a leading provider of on-demand workforce productivity software solutions to the SMB market We provide small and medium-sized businesses with cost effective, easy-to-use solutions that lower costs and make jobs easier through employee self service Our 4-Year objectives
Slide 4: About Asure
About Asure Leading provider of workforce productivity solutions for small and medium sized businesses Headquartered in Austin, Texas with offices in Warwick, MA; Vancouver, BC; Mumbai, India Market capitalization - $5M Employees: 74 Asure is a result of 6-plus years of transformation of a publicly
Slide 5: History of A Business Transformed
History of A Business Transformed 1985 1992 2002 2003 2007 Acquired NetSimplicity Grew from <$1M annually to $6.2M in FY ‘08 Acquired iEmployee and Renamed Company Asure First Licensed IP~$160M by 2007 Incorporated as VideoTelecom IPO—Listed on NASDAQ Sold Original Hardware Business Sold Services Bu
Slide 6: Our Businesses
Our Businesses Web-based, on-demand employee benefits and time tracking solutions that increase worker productivity Enables employees to enroll in and change benefits via self-service; eliminates overhead of centralized HR paper-based systems Enables employees to track and submit time off requests o
Slide 7: Management Experience
Management Experience Average industry experience – 22 years Nancy Harris – President and Chief Executive Officer – Accenture, BMC Software, ClearCommerce Jay Peterson – Chief Financial Officer – IBM, Dell Kirk Norsworthy – Vice President of Development – IBM, Clear Cube, Polycom Nate Pruitt – Vice
Slide 8: Historical Financials
Historical Financials Gross Margin % 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 2004 2005 2006 2007 2008 2009 (estimated) Gross Margin % Software Revenue (estimated) $- $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 2004 2005 2006 2007 2008 2009 Software Revenue
Slide 9: Asure Annual New SaaS Bookings
Asure Annual New SaaS Bookings $- $200 $400 $600 $800 $1,000 $1,200 FY06 FY07 FY08 FY09 Fiscal Year (000's)
Slide 10: Historical Financials (cont'd)
Historical Financials (cont’d) Deferred Revenue $- $500 $1,000 $1,500 $2,000 $2,500 2004 2005 2006 2007 2008 2009 (estimated) Deferred Revenue
Slide 11: The Market: Workforce Management Industry Trends
The Market Workforce Management Industry Trends People-related costs account for 40% to 60% of corporate overhead, including salary and wages, benefits, training and personnel administration (Forrestor) Small- to mid-size enterprises seeking ways to improve efficiencies, increase productivity and re
Slide 12: Workforce Management Defined
Workforce Management Defined
Slide 13: Workplace Management Defined
Workplace Management Defined Maintenance Scheduling On-demand maintenance Building assessment
Slide 14: Workforce Management
Workforce Management Interview Scheduling Benefits Enrollment Time Tracking Absence/PTO Paystubs
Slide 15: Workplace Management
Workplace Management Maintenance Scheduling On-demand maintenance Building assessment Site & employee services Office hoteling & room reservations
Slide 16: Workplace Productivity
Workplace Productivity = bed Workforce Management Workplace Management A{URE 7 OFTWARE
Slide 17: SMB Target Market (U.S.)
SMB Target Market (U.S.) Target Market Asure Customer Base: Over 3,500 total customers Primarily SMB and divisions of large companies Average size of clients = 500 employees 10,276 companies 110,163 companies 515,056 companies Source: US Census Bureau Need to keep in mind addressable market as appli
Slide 18: Marketing & Distribution Model
Marketing & Distribution Model Possible Customers (target markets, right companies, etc. Showed Interest (website visits, contact discovery, show attendees) Passed to Sales (raised hand, filled out form, called in) Qualified Deals (B.A.N.T, In a sales process) Wins Marketing model Well tuned web bas
Slide 19: Distribution Channels
Distribution Channels Direct Phone-based sales model Low cost, efficient Tools for remote phone and web sales Channel – more than doubled indirect channels for iEmployee Tier 1 Ceridian Oasis Tier 2 AD Computer Tier 3 BusinessSolve UK Novera (Australia)
Slide 20: Revenue Outlook
Revenue Outlook $000 -$10,000 -$5,000 $0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 $35,000 FY09 FY10 FY11 FY12 FY13 Profit Revenue M&A
Slide 21: Customer Base
Enterprise Education Healthcare Hospitality (targets) Customer Base
Slide 22: Core Competencies
Core Competencies Achieve growth by capitalizing on the growing SMB market opportunity for SaaS based WFM solutions. Sales/Distribution Focus on telephone-based sales force Build direct / indirect channel for domestic and international expansion Marketing Continue “hot” lead generation--a core compe
Slide 23: Highly Experienced, Independent and Qualified Board
Highly Experienced, Independent and Qualified Board Richard N. Snyder has served as a director of the Company since December 1997 and was elected Chairman of the Board in March 2000. Mr. Snyder served as President and Chief Executive Officer of the Company from June 2001 through June 2009 and curren
Slide 24: Strong Corporate Governance
Strong Corporate Governance 4 of 6 directors are independent Directors with diverse background of experience were intentionally selected to sit on your Board to match all facets of Asure’s business All directors have extensive management and/or leadership experience Active and involved Board Frequen
Slide 25: Pinnacle/Red Oak Partners: Not Qualified and No Superior Plan
Pinnacle/Red Oak Partners: Not Qualified and No Superior Plan Pinnacle/Red Oak partners, a New York-based hedge fund, is seeking control of Asure’s Board No proposed directors on Pinnacle’s slate have public company experience Pinnacle has no clear plan to run Asure Pinnacle has been unclear as to i
Slide 26: Pinnacle/Red Oak: Risky Proposition
Pinnacle/Red Oak: Risky Proposition Pinnacle has consistently distorted facts and misrepresented situations in an attempt to paint your current Board and management in a negative light in an attempt to take control of the company without paying shareholders a premium Pinnacle’s latest claims that it
Slide 27: Conclusion
Conclusion Focused on business plan and executing it well Solid software businesses with large market opportunity and good gross margins Priority focus is EBITA profitability Execution of plan will maximize value to shareholders This Board and management team are the right group to deliver required
Slide 28: Additional Information
Additional Information Important Information Forgent Networks, Inc. filed a definitive Proxy Statement with the Securities and Exchange Commission on July 17, 2009, in connection with Company’s Annual Meeting of Stockholders to be held on August 28, 2009. Stockholders are strongly advised to read th