SalesRabbit Acquires Roofle: The Warning Every Roofer Needs to Hear

Sales Rabbit just bought Roofle. This isn't just news, it's a warning. Because when roofing software gets acquired, things always change. And right now roofers have more power than they realize. Let me explain what this really means. The Roofle acquisition by Sales Rabbit. So if you haven't heard, Sales Rabbit bought Rooflink, the CRM and then they bought Rufle yesterday. Because remember, every acquisition is just a discount on future earnings. Meaning you think this company will do a million dollars profit a year for the next foreseeable future and we'll buy it for two or ten years of profit. This business is gon for another 50 years. Well, we'll buy it for the next five years of profit. So what you're doing is you're essentially saying we will get it. It's a discount on the future earnings of the company, which means that both agree that the earnings are going to go on and continue in perpetuity, but we're going to let them buy it at a discount. So why would we discount our future earnings? Well, because some writing is on the wall somewhere. Rufal is online quoting tool. So a tool that allows people to get quotes on their roofing website based on satellite measurements and other measurement sources. I don't know all the sources because that's part of the secret SA Before I get started, first thing I want to do is say congratulations to Travis and Mike Goldenstein and Joel Hoffman because at the end of the day, that's the dream. That's the dream. If you start some type of tech startup style company, that's the dream is to get acquired. Like that's the whole goal. But it means that for some reason they didn't take the Billy, they didn't pursue the billion dollar outcome. For whatever reason, they chose to take the money off the table and to let someone else buy their future. So we have to look at things like the Verus acquisition of Acculinx or the Job Nimbus acquisition of Sumoquo. And what we have to remember is that usually behind this, behind like the Job Nimbus acquisition, there's venture capital and private equity, there's financiers behind all this. So Job Nimbus looks like nice guys, sumoquilt looks like nice guys. But there's a plan, there's a reason. Because at the same time you also have to think that, well, if the company's going to continue doing these earnings for the foreseeable future and we buy it for the next five years of earnings or three years or 12 years or 20 years or whatever, whatever the multiplier was on that purchase. The reason that they do it is because they think they're going to add to it. And sometimes to add to it isn't always by staying the same company that they were before. So change does and will come. Remember Sumoquote, the founder was gone not long after jobnimbus is acquired. The Canadian employees that started it were there and then they weren't. And Sumoquote product didn't evolve, but it moved into Job Nimbus. And then people randomly started getting 50% price increases, cancellation, being told if you didn't move in a Job Nimbus, you could no longer use Sumoquote. Now, none of this was said at first. They didn't say, hey, we're going to cancel. All the Sumoquote users are outside of it. And I am going through this nightmare right now with about 300 roofers that we put on Sumoquote who have no interest in being on Job Nimbus. And what are they going to do and shout out to Zooper for, you know, coming out of the woodwork and being this amazing tool that, you know, kind of does what company Cam does arrive does, and Sumo Core does and phones does. And I think that they're doing a lot to take over the world. But the important thing to note is that like, things will change. So what do you do? You right now have never had more power as a rueful customer. So this is your time to secure a long term like use the fact that this news creates uncertainty about Rufus future if you're not on Rooflink and Sales Rabbit, because what happens when these companies buy there is a plan? We don't know what the plan is. I don't know what the plan is. I haven't heard what the plan is. I'm not sharing anything that I've been told. I have no insider knowledge of this deal whatsoever. In fact, I talked to Mike just days ago and he didn't mention any of this. So I have no knowledge of any of this thing having happened. Right. Because obviously they're gonna be bound by privacy stuff. But there is always a plan. And so you, as a, as a Ruffle customer right now are never going to be in a better position in terms of power and control over the relationship as you have right now. So make sure that you treat this as an inciting event that creates uncertainty about the future of your relationship with Rufle and use that to secure the best deal. Because the other thing that happens is the inside people who are watching the technology grow who are invested in every day learning about e commerce and online quoting and map sourcing and all this kind of stuff. They always know like they're doing SWOT analysis all the time. So they know their strengths, their weaknesses, their opportunities and their threats. So in the case of the Sumoquote deal, what they recognized was like Powerline, which was formerly a Sumoqo customer. Well if you look at the interface for proline and you look at Sumoquote in the OG days before it switched to Job Nimbus, very similar ui. Like the template pages are almost the same. It's as close as to a thing as a copy as as you could say had Sumoquote not been pursuing the acquisition with Job Nimbus, they would have gone after proline. There was a conversation about it. It was going to put messiness on a deal that was basically already done. So it didn't happen. So shout out to AJ John because they skirted that one, right? And they it because then it just never became an issue. But I was in the room when the conversation happened. So like quoting was at one point a luxury quoting in proposals, let's say, right? Like the concept of measurements to proposal with a beautiful proposal with hero pages and all that stuff, that was at one point a luxury. Then it became ubiquitous. Every roofing CRM had it. So you saw that Leap, which was a proposal tool, right, that came out with a nice configure price quote to proposal workflow. They bought a struggling CRM Job Progress. And they'll never say it was that they were struggling, but they were under threat and got sued by Accu Links. And if you look at all the former leadership of Job Progress, when they went to start a roofing franchise, they didn't put all those small roofing companies on Job Progress. They put all the small roofing companies on Pro Line. So even the founders of the company didn't use the old CRM after it got acquired. So it's something to know about. And so Proline had a configure price go proposal Leap Proposal Co. Bought a roofing CRM Roof R which you know, shout out to my kid Canadian brothers. But they are the teemu of everything in roofing, right? They created the low cost version of Eagle View, then they had the low cost version of Rufal. Then they had the low cost version of Job Nimbus, right? Like they're kind of like just the wish edition of everything in roofing. So then Rufar, right, had now had the proposal in their CRM So Sumoquote was watching all their integration partners, you know, steal their product, disappear, you know, stop integrating, make their own shit, buy their own shit or be bought by their own shit. So all of a sudden you no longer had this like market position as the configure price quote for everybody. Same thing happened with Proline, right? Proline was once an integration to all the other CRMs. And writing on the wall, everybody's starting to move your feature set into their software. So you either have to like, you know, ride that out till it's done or you create your own CRM. So these are the decisions that are made by tech companies every single day. So Sumo Quote saw the writing on the wall. We are no longer going to be as strong in the roofing market as just a proposal tool. So we had to sell it. And if you look at the Roofle thing, we have to think you've got demand iq kind of creating products. You've got rufar with their TEMU version of your product, and there's a whole new world coming to the world of development. You know, you've got Marcus Sheridan now selling an online quote builder kind of as a concept, and he's always been talking about pricing on your website. It was the number one kind of beacon of a person to point to until it wasn't. But the idea is that online pricing might be getting to become an easier product to roll out. And so now the value of the customer base and the value of the technology, the value of the technology is generally decreasing over time. There was a period of time a flashlight app on your phone was worth 4.99 then at 99 cents. And now the value of a flashlight app on your phone is effectively zero. Same thing with a notes app and a voice recorder app. You know, it was like, Apple killed my product, Apple killed my company. And today it's very much like ChatGPT killed my company, right? So people start like an AI product and then all of a sudden ChatGPT essentially swallows it all up. These are just things to consider when a tech company in your space gets bought out is you have to know that first of all, congratulate the founders and no, that they just crossed the finish line of like, that was the goal. If you're not going for the billion, like, that's the goal. And so congratulate those guys and know that those guys just crossed a major finish line and milestone in life and they deserve it. And like, they saw it through, they crossed the finish line and they deserve all the congratulations in the world. And they don't. They don't owe you a darn thing. They have worked their asses off traveling the country, going and doing the trade shows, working their way through ideas that people love and people hate and people complain about and things and bugs and. And fixes and all that kind of stuff. And that everybody's invested in this, in this finish line, this, this eventual goal of the acquisition. So those guys deserve all the credit in the world. And what happens from now on ain't their fault. But know that there's always a plan, that this was bought as a discount on future earnings. And for that there has to be a value increase or a value add to the relationship that wasn't there while just letting Ruful integrate. And that usually means that there's writing on the wall that R was more aware of than Sales Rabbit and Rooflink. There will always be like you want to show them everything and they going to show them everything and they're going to do their due diligence. But it is due diligence. They are finding it out. They know more about where the market's going to go than anyone else. And this is because I spent the last 14 months learning about this because I have my own thing to launch in March and so I've had to learn a lot about this. But there is going to be change coming and they won't talk about it today. You don't know what's going to happen. You don't know if you're going to still allow to be using Ruful. If you're not on Rooflink and you're not on Sales Rabbit, this is. This is just what happens. And it wasn't the plan with Sumoquote either. And it wasn't Aculink's plan to have Verus go back out of the deal. But this stuff happened happen. So yeah, congratulations to the boys. They deserve it. They worked very, very hard. It is a huge thing to celebrate that a roofer from Minnesota put together a team including guys that used to just run around the province. Helpers. Not the province, the state. You know, because Mike was a GAF rep up before, you know, I believe. And he did a great thing for the roofing community and they did such a fantastic job and they deserve it. Right? And I'm super happy for them. But that doesn't mean you don't make good decisions. It doesn't mean you don't start thinking because this is a fork in the road. I hope that helps. And I got nothing but love for the guys who went through it, they deserve all the congrats.