First Outside Investment In 30 Years Makes Life Sciences Software Firm A Unicorn

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First Outside Investment In 30 Years Makes Life Sciences Software Firm A Unicorn by amyfeldman

. Its annual recurring revenue, or ARR—a metric preferred by software companies that operate on a subscription basis—is more than $100 million. Its yearly revenue for accounting purposes is expected to be between $120 million and $140 million for 2022.

Beckstrand, 54, who is both a lawyer and an accountant, first joined the company as a board member after his father, Richard Beckstrand, a long-time entrepreneur and private investor, invested in 1998 in what was then a small business. In 2002, after the elder Beckstrand bought out other shareholders, Jon Beckstrand became CEO. “I was going to come in to be the CEO until we found someone else, and it ended up being not temporary,” he says.

After the FDA started allowing life-sciences firms to use electronic records, MasterControl shifted its focus to that industry. The pandemic highlighted the problems that life-sciences and medical device firms faced with their continued reliance on paper, says Sixth Street managing director Nari Ansari. Between supply-chain bottlenecks and quality problems, he says, “it’s really shown a light on where there are deficiencies.” He figures that the total addressable market globally for MasterControl’s existing software products tops $10 billion.

 

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