The average length of a deal is 9 months (from mgmt.) and hence...

The average length of a deal is 9 months (from mgmt.) and hence the recurring subscription piece is generally reflective of 9 months of subscription revenue they charge (note they charge on a per user basis which is more transparent than say Intralinks which charge on a per data basis). They have also started billing upfront basis on a 3-6 month basis, so we should see some incremental deferred revenue component on their BS.

The whole thesis for Ansarada is extending the duration of subscription revenue from 9 months by cross-selling additional products (for example, their tender management product, and board product). Given their natural churn in their business, they will never achieve the typical SaaS multiples. The counterpoint to this is that customer acquisition cost is cheap as they typically work on a free referral basis (i.e. from banks, accounting firms or legal firms).

Today, they are really trying to expand offshore which makes sense. The competitors which they have won against in the Australian market where they dominate complex deals are Intralinks and Merryl Corp, the same competitors which dominate the U.S market currently. It'll be a slow process though as they'll need to build up their network of referral partners.