Catalyst Investors has a long-standing history investing in businesses at the intersection of SaaS and financial services & technology, with most recent examples including MINDBODY (payments & business management SaaS for health & wellness businesses), Clinicient (revenue cycle management collections, EMR, and practice management SaaS for physical & occupational therapists), and Fusion Risk Management (business continuity SaaS sold to financial institutions and other F1000 enterprises). Lately, Catalyst has spent more time researching the FinTech sector and has published two reports to broadcast the team’s findings: • FinTech Market Overview – a primer that segments the FinTech ecosystem based on end-market and business model (e.g., enablers vs. replacers) • Enterprise Financial Management: Solutions for the Office of the CFO – a deeper look into software and tech-enabled services enabling businesses and their finance function to work more efficiently

1. Enterprise Financial Management:
Solutions for the Office of the CFO
September 2018
Kirk Mahoney, Grady Kidder & Todd Clapp

2. 2
Enterprise Financial Management Overview
CFO
Finance & Accounting Departments
Accounting
Invoicing &
Collections
FP&A Procurement
Human
Resources
Investor
Relations
Capital
Markets
Risk Mgmt.
Treasury
Payroll &
Benefits
Other Departments Typically
Reporting to the CFO
Logistics
General
Counsel
• Enterprise Financial Management is comprised of software and tech-enabled services
businesses providing workflow, information services, or outsourced solutions for functions
reporting to the Office of the CFO
• This report specifically focuses on those related to finance, accounting, and risk functions
• Adjacent functions, often reporting to the CFO, include HR, procurement, legal, and logistics

3. 3
Enterprise Financial Management / Office of the CFO Software Market Map
Enterprise Resource Planning
Finance & Accounting Platforms
A/R, Invoice
& Collections
Accounting
& Close
FP&A &
Budgeting
A/P
ShareholdersPayroll &
Benefits
HCM BI & Analytics
SCM, OMS, &
Inv. Mgmt.
Tax
Treasury &
Risk
Working Cap.
Expenses
Via API integrations, Finance and Accounting Departments are increasingly abstracting out functionality to best of breed point solutions
Finance and Accounting Point Solutions
End-to-end software suites for accounting and finance departments – typically focus on
bookkeeping and accounting data storage
Note: this landscape is intended to be a representative sampling and is not an exhaustive list.
Please direct inquiries to kirk@catalyst.com.

4. 4
Finance & Accounting Dynamics
• CFO’s ownership of ERP data put them at
the center of enterprise’s Big Data
initiatives
• However, CFO’s remain skeptical of their
ability to leverage all of the data they have
– only 16% of CFOs consider their
companies to be highly data driven in their
strategic decision-making [1]
CFOs as the Chief
Data-Driven
Strategy Officer
ERP Data
ML & Big Data Technology
Pricing
Sales &
Marketing
Ops. &
Logistics
• Due to strong economic growth as well as
the 2017 tax reform, CFOs in the US are
currently in a growth mindset, with 90%
reporting conditions as good [3]
• Optimistic CFOs foster an ideal climate for
selling innovation and experimentation
[1] Economist Intelligence; The Data Directive Focus on the CFO
[2] AICPA 2017 trends
[3] Deloitte; 2018 Q1 Global CFO Signals; North America
Optimistic CFO
• After growing at a 5.5% CAGR from `02-`10
(largely due to increased demand for CPAs
post Sarbanes-Oxley) growth has slowed
to 2.5% over the `10-`16 period
• We anticipate that trend continuing as the
percentage of graduates pursuing degrees
in software and data continues to grow
Declining Labor
Force Growth
45.1K 46.6K 44.7K 49.7K 53.8K
64.2K 66.5K 68.6K
82.2K 82.0K 79.5K
0
50
100
2000 2001 2002 2003 2004 2007 2008 2010 2012 2014 2016
US Accounting Graduates [2]
Bachelor's Master's
64%
18%
57%
18%
CFO Mindset [3]

5. 5
Finance & Accounting Technology Trends
• ERP mega suites will give way over time to
best-of-breed point solutions in the cloud,
driven by APIs
• Over the intermediate term, incumbent
ERP systems will continue to serve as
persistent systems of record
APIs &
Microservices
• Rather than automating entire jobs, AI
solutions will automate repetitive tasks
and processes thereby enabling businesses
to better leverage their workers’
knowledge-based skills
• Cloud ERP systems offer significant
benefits including cost, agility, and
maintenance
• SMBs and service-based industries have
been relatively fast adopters with large
enterprises and asset heavy industries
lagging
Task Automation
ERP Moving to
the Cloud
[1] Forrester Research; Vendor Landscape for SaaS ERP Applications, 2017
[2] EY; Robotic process automation in the Finance function of the future
6%
14%
16%
18%
6%
13%
19%
23%
2012
2013
2014
2015
Firms’ Plans to Use SaaS to Complement or Replace ERP [1]
Already SaaS Plan to Replace with SaaS within 2 Years Other Reponses
Monolith MicroservicesHybrid Architecture
Robotic Process Automation offers exceptional benefits to
finance departments [2]:
• Higher Quality
• Low-to-zero defects
• Fewer compliance considerations compared to offshoring
• Clear audit trails
• Lower Costs
• 50-70% cost reduction for high frequency repeated tasks
• 1/3 of the cost of offshore FTE; 1/10 of the cost of
onshore FTE

6. Please send any inquiries to kirk@catalyst.com