Software as a Service (“SaaS”) Andrew Bailey President – Cabinet NG, Inc

Introductions About Andrew Bailey President of Cabinet NG, Inc. Over 20 years experience in the software industry Joined Cabinet NG (CNG) in 2002 About Cabinet NG, Inc. Vibrant software business, averaging 30% growth per year Target the small-to-mid sized enterprise opportunity Offer Document Management software in traditional and SaaS models Key differentiators – Integration, Workflow, User Interface

About Andrew Bailey

President of Cabinet NG, Inc.

Over 20 years experience in the software industry

Joined Cabinet NG (CNG) in 2002

About Cabinet NG, Inc.

Vibrant software business, averaging 30% growth per year

Target the small-to-mid sized enterprise opportunity

Offer Document Management software in traditional and SaaS models

Key differentiators – Integration, Workflow, User Interface

What is SaaS? Wikipedia: Software as a Service (SaaS, typically pronounced 'sass') is a model of software deployment where an application is licensed for use as a service provided to customers on demand. Note: There are several other definitions because the SaaS opportunity is evolving

What’s driving the use of SaaS for Document Management Satisfying Gov. & Corp. governances, litigation, security and disaster recovery Gaining control over massive amounts of information and resources Timely content access Employees Customers Partners Required physical footprint and floor space constraints Space Compliance Efficiency Cost

Timely

content access

Employees

Customers

Partners

Market Opportunity For Hosted Services 32% CAGR WW SaaS forecasted, 2007-2011 (IDC) $2.4B Microsoft SaaS sales by 2011 (Infosys Consulting) 25% of new business software will be delivered as a service by 2011 (Gartner) $2.4B Microsoft Software 25% New Software Share 32% Market Growth

32% CAGR WW SaaS forecasted, 2007-2011 (IDC)

$2.4B Microsoft SaaS sales by 2011 (Infosys Consulting)

25% of new business software will be delivered as a service by 2011 (Gartner)

Software Models - Two Camps Standalone PC Client- Server (ASP) Application Service Provider (SaaS) Software as a Service Cloud Mid 80’s Today Y2K WAN speed LAN speed Performance Many variables Controlled environment Integration Yes (proportionate startup / ongoing cost) No (small business disadvantage) Level field Hot Boring Buzz Internet Access Local/LAN Network Part of the service Local responsibility Backup Part of the service Local - onsite Upgrades Subscription When deployed Cost Evolving Defined Technology Timeline

Evaluating SaaS as an Opportunity Reseller perspective Software Packages Software as a Service Typically not offered Change Vendor specific Might be a partner strategy Be your own ASP Capture SaaS benefits Best new thing New business Conservative thinkers Hunter Customer base Hunter & Farmer Could be less Overhead Bench-time risks/$$$ May be about the same, but a longer refresh cycle Hardware PC, Network, Servers, Peripherals Not your concern Services Responsibility/$$$ Ongoing Revenue Up front

How Interested are you in adopting SaaS? Source: Forrester Research, Inc.

Top SaaS Applications Source: Forrester Research, Inc.

Reasons for not being interested in SaaS Source: Forrester Research, Inc.

Q & A