Completed sale
Total Drive Software IT Software & Support Business Acquisition by Software Circle Group | Deal Summary
A team effort helped to source investment for a popular and fast-growing app…
Our client is a market-leading provider of innovative software, in the form of a web-based platform and phone application for Android and iOS, that acts as a management tool for driving instructors to help run their business.
Based in Torquay, founders Ross Kernick and Andrew (Tom) Wotton initially launched the app in April 2019 at a National Expo, attaining 100 subscribers within nine months of launch.
Since this time, Total Drive has experienced consistent growth, collecting several awards, and expanding its user base to current figures of 7,000 instructors and 200,000 registered pupil users.
Ross and Tom made the decision to offer the business for sale to facilitate growth under the impetus of new ownership. They reached out to Knightsbridge, who deployed Associate Director Sara Thomasson.
The main focus when highlighting Total Drive’s key value drivers was its scope for even further growth via the expansion of overall operations, with the app already being used internationally in English-speaking countries with no marketing.
“Joe Bull (National Sales Director) played a key role in the research process,” explained Sara, in which the company’s strong performance in turnover and EBITDA was highlighted; a 530% increase within four financial years.
No less than 28 interested parties emerged, and 11 meetings were conducted with the most serious of potential buyers. This led to three competing bids, resulting in the acceptance of a lucrative offer.
Identified by Administrator Anastasia Soldatos from Knightsbridge’s extensive database, acquisition specialist Software Circle was sourced: an AIM-listed company based in Manchester that targets fast-growing vertical market software businesses.
Gavin Cockerill, Software Circle Group CEO, added Total Drive to its growing portfolio of businesses, and shared his delight with the latest acquisition:
“Total Drive has built a market-leading product with a strong customer base, and we see significant potential to further accelerate its growth by leveraging our expertise in operational scalability, technology, and customer engagement.”
Using its resources as part of K3 Capital Group, Knightsbridge provided K3 Law to act for Ross and Tom in legal post-sale aspects, who “provided invaluable support, ensuring a swift conclusion”, explained Sara.
KBS Corporate’s Tom Eatough, Corporate Director from another sister company within the Group, assisted proceedings.
Happy with the substantial deal, Ross and Tom will remain in consultancy roles for a two-year period, with the former commenting:
“Tom and I were highly impressed with Software Circle’s operating model. We believe the quality of their systems and processes will play a crucial role in supporting our rapid growth, enhancing our award-winning software, and elevating our customer service.”
Sara concluded: “I enjoyed a fantastic relationship with both the buyer and seller. Ross and Tom were exceptionally organised and had established a highly appealing business.
“The business attracted significant interest from quality buyers, and the Software Circle’s experience in acquisitions facilitated a smooth and efficient deal completion. Overall, it was a highly successful and rewarding transaction for all parties involved.”
The Knightsbridge team wishes further success for Total Drive Software.