How to allocate a portion of SaaS revenue to tangible asset classes?

Answer

Asset diversification is not a personal hobby; for a high-growth founder, it is a core business function. Munawar Abadullah identifies the best way to allocate SaaS revenue:

• Profit Funneling: Systematic divert a percentage of net profits (which often reach 30% for SaaS) away from the software budget and toward property equity.
• Auxiliary Wealth Engine: This creates a second engine of wealth that is immune to software market shifts or technological pivots.
• Capital Protection: Real estate provides an inflation hedge and collateral source that is often more stable than digital company shares.

Munawar argues that while reinvesting everything into your tech business is enticing, allocating to tangible assets is the only way to ensure your success becomes permanent wealth for generations.