Aaron Ross

I was asked last week during a presentation why I said I’d be terrified about the idea of starting a new B2B SaaS business in the current environment: See what you can infer from David’s post below👇. Mine: (1) The competitive environment across the board combined with low barriers to entry means that building a new sales machine in an early stage start up today is harder than ever before, even as you reach scale. As someone who has spent a lot of time in GTM there is more noise than ever before. My analogy to growing a sales machine in the early stage is like blowing up a balloon. The first few breaths are the hardest. In recent years the environment for B2B SaaS at both a macro and micro level has made it much harder. Try blowing up that balloon when it’s now made of pvc plastic rather than rubber- it isn’t impossible, but harder. (2) It means companies who already have distribution and are established may likely extend their leads. Incumbency is possibly more powerful than before (I may be wrong but look at the mag7). Money seems to be flowing to the incumbents and the cost of capital for the early stage is getting worse. The canary in the coal mine is the number of VCs struggling to close a fund at the moment. If you are an early stage founder raising, I dare you to ask the VC opposite you how their latest raise went and what the LP market was like. You might see the sweat start to appear. Start-ups are now reaching a stage where they themselves will soon be disrupted by the larger players or even by their own business models. If you are reliant on traditional per seat licensing model and you effectively implement AI to make your tools more efficient and more effective you may end up canibalising your own seats through creating a kick-ass product! (in this case you’d still be winning but you get the point!) If I were a large incumbent SaaS comapny, killing and swatting away the little disrupters would have been something that consumed a bit of energy. Now nature is doing it for me. (3)Technology is changing so quickly it’s hard to plan long term and speed is becoming more important as a weapon, while capital to fuel that speed is decreasing by the minute. Your competitive advantage may evaporate tomorrow with the next demo from OpenAi et al. As a result, early stage companies who smash it early and undertake founder-led sales may get to $1-$5m ARR quite easily but $10m-$50m ARR in this environment and the future will be more challenging than before to say the least (again see below!). All is not lost though. Those who can break this barrier will likely not only survive but thrive! Evolution occurs due to diversity and adversity. I want to be clear, B2B SaaS isn’t dead. Just harder! (and I’m kind of excited to see what models people develop over the coming years to adapt 🤓🤓🤓). To the founders in the trenches today, keep chewing glass and staring into the abyss. It’s the best way to feel alive! (First hand experience)

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Is product knowledge important for SDRs to have? Absolutely it is, but only if it isn’t used to feature dump. Instead, reverse engineer the outcomes delivered by the product into sales messaging. For the last few years, I’ve used this 4-step framework to help SDRs turn product knowledge into a tool for better conversations. 🔽 After showing each feature, as a group we: 1: Identify who it impacts and how 2: Quantify the cost of the problem it solves 3: Write a 1-2 sentence opener / value statement 4: Write 3 relevant discovery questions to uncover pain Revenue leaders: give it a try and let me know how it works. #sales #salesdevelopment #sdr

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This year, I've spent 160 hours meeting with strategic account sellers. Here’s the #1 issue driving them crazy (and how to escape this hell): Being forced to sell by activity rather than strategy. I hear this story over and over again. Senior sellers at SaaS companies being pressured by their leaders to meet high outbound activity metrics each week. They're treated like glorified SDRs rather than Strategic AEs… But with $150K-$200K base salaries. Here's the problem: Surpassing $1.5M-5M+ ARR quotas will not happen by running call blitzes using senior reps. 7-figure transformation deals unfold by designing a high-quality executive buying experience for a smaller subset of accounts aligned to the AE's unique characteristics. So if you’re a strat account seller and find yourself in this sticky situation, here’s a playbook you can use to get out of it: STEP 1: Break down how you spent your time over the past 4 weeks The key is a deep understanding of revenue-generating activities (RGAs) vs non-RGAs. Remember: Research, prep, and follow-up are RGAs - not just the call or meeting. BTW, I like using Timeular for detailed time tracking. STEP 2: Draft up an internal business case Use this to present your case for replacing cold outreach time with more creative and impactful strategies, which will improve your performance and grow the business. STEP 3: Outline your strategy Structure your plan like this: ⇢ Title that includes your BLUF (Bottom Line Up Front) Example: “The path from $400K to $4M deals” ⇢ Headline Example: “I will replace 2 mandatory call blitzes per week with strategic account win design sessions. This deep work will result in elevating my executive status within my top 10 tier-one accounts.” ⇢ The Problem Statement Example: “For the past 4 weeks, 200 cold calls during the mandatory call blitz windows have produced 2 meetings (a 1% call-to-meeting ratio), resulting in a 50% attendance rate.” ⇢ Recommended Approach Example: “By allocating two 1-hour blocks for strategic account win designs instead of the cold call blocks, I will develop specific plans for my top 10 accounts using tools such as account maps, creative strategies such as crafting open letters, and arranging peer network exchanges which have been proven strategies from other 7-figure sellers within a strategic sales community I have invested in. I will still have time to meet the required 80 weekly outbound outreaches.” ⇢ Outline The KPIs You will want to drill down into the key levers that matter (show current vs target): - Win rate - Deal size - Deal cycle Remember to set a date for your targets. The beauty of this model is that it’s also a blueprint for selling more effectively with prospects. Going through this exercise proves to both you and your leaders you can be more strategic. Which, in case they forgot, was what you were hired for in the first place! 🐝

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B2B SaaS investors... For your last handful of *seed* deals... What was MRR, rough growth trajectory, pre-money and total size of the round? Where do you feel like seed is at the moment? Either comment, or if you wanna DM me, I'll aggregate them into an average...

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The best B2B SaaS sales advice I’ve ever heard, is: “get crazily narrow on your ICP and messaging”. Going wider in customer profile makes intuitive sense. More to go at right? Going less extreme on messaging also makes sense. Don’t turn anyone off, right? Wrong. Most great companies built from a truly narrow base. Where the pain point was absolutely, 100%, without equivocation fixed by the software. Very few great companies come from a wide base. Trying to be all things to all people. If in doubt, niche down. There’s loads of books on this very factor. And blog posts. And substacks. And LI advice. Pretty much everyone involved in building SaaS startups agrees. But it’s soooo counter intuitive that surprisingly few founders truly embrace the concept. #founders #startups #vcfunding

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I’ve talked to over 1,000 Salesperson about what makes their teams successful and where they can improve. I’ve noticed some clear patterns. Here are the top 10 skills that the highest-paid SaaS salespeople have, which others often lack: 1. Creating Real Value During Conversations I’m not talking about the usual sales chats that buyers find annoying. Instead, it’s about having conversations that genuinely help your buyer. You leave them feeling better and more informed than when they first talked to you. 2. Understanding Business Inside and Out Having a good grasp of how businesses work makes all your other sales skills even better. When you improve your business knowledge, you automatically become better at finding leads, negotiating deals, and more. 3. Being a Confident Negotiator The best salespeople are excellent at making deals. They can negotiate effectively whether their boss is watching or not. This confidence helps them close more deals and earn more. 4. Managing Relationships with Key People This means finding and nurturing supporters within the buyer’s company. It’s about strategically interacting with different people to ensure the deal goes through smoothly. 5. Generating Your Own Leads The top salespeople are great at finding new potential customers on their own. They control their own pipeline, which means they’re not dependent on others to bring in business. 6. Being Insightful and Knowledgeable Great salespeople know their industry inside and out. They use this knowledge to help their buyers see problems and solutions in new ways, which builds their credibility and makes deals more likely to succeed. 7. Telling Powerful Stories They don’t just tell any stories—they share stories that make buyers have “aha” moments. These stories help buyers see themselves in the situation and understand the value of the solution. 8. Knowing Their Market Thoroughly Top sales reps understand their customers’ hopes, dreams, fears, and frustrations. They know what their buyers are thinking and talking about, which helps them connect better and sell more effectively. 9. Being Adaptable and Always Learning Markets change quickly, and the best salespeople keep up by constantly learning new skills and unlearning old ones. They stay ahead by adapting to what’s needed next. 10. Having Strong Emotional Intelligence Even with all the above skills, if you can’t connect with people on a human level, it doesn’t matter. Emotional intelligence allows you to interact well with others, build strong relationships, and handle various situations smoothly. Btw my partner Steph and I have invested over 250 hours in creating a free Human Design test to help people improve their sales careers by better understanding their strengths and how they work best. If you’d like us to analyze your strengths and optimal work style, feel free to DM us!

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Thanks Santosh Sharan. Another (novel) idea would be to increase R&D and improve features of product (Obviously, massive inclusion of A.I.). As you mentioned, saturation of the CRM market and the CFO at Enterprise are identifying unused licenses and using their leverage to push prices down. However, there are some solid competitors in the market now and Enterprise is willing to move to significantly improved technology at a lower cost.

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Is spending $2.50 on Sales & Marketing for $1 in Net New ARR bad? Not necessarily. $2.50 is the median GTM Efficiency Ratio for public SaaS right now. The worst it’s been in 5 years.... So we know that is BAD! 😨 But for YOUR company – if YOUR GTM Efficiency Ratio is $2.50 – is THAT necessarily bad? Here’s how I’d answer the question… First: How does it compare with last year?  Because the trend is important. Next: How does it compare with other companies like you?  Finally (and most importantly): You need to BREAK DOWN the metric into its components. Net New ARR =        New ARR from New Logos     + New ARR from Upsells/Expansions - Churn Sales & Marketing =    S&M spent on New Logo Acquisition    + S&M spent on Upsells/Expansion    + S&M spent on Retention Once you break it down, you’re much better prepared to characterize “good” and “bad” – by activity. And then do the REAL work of addressing what's not working. Consider two companies, each with $100M ARR, 20% growth and $2.50 GTM Efficiency Ratio: Company A: $20M Net New ARR = $5M ARR from New Logos + $25M ARR from Upsells/Expansion - $10M  Churn (GRR=90% and NRR=115%) $50M Sales & Marketing = $10M spent on Retention + $30M spent on Upsells/Expansions  + $10M spent on New Logo Sales Company B: $20M Net New ARR = $15M ARR from New Logos + $10M ARR from Upsells/Expansions - $5M Churn (GRR=95% and NRR=105%) $50M Sales & Marketing = + $5M spent on Retention + $10M spent on Upsells + $35M spent on New Logo Sales You may initially prefer Company A for its higher NRR of 115%. But wait! Company A has three very glaring GTM issues: 1.Churn is worse (90%, vs. 95%) 2. Its Retention Costs are 2x ($10M vs. $5M) 3. It spends 20% more on Upsells/Expansions ($1.20 vs. $1) So – actually, Company B’s GTM economics are much better! And guess what: When growth declines, Company B’s GTM metrics will look better and better compared with A. And B is building a larger customer base to mine from ($15M in new logos vs. $5M for Company A). Company A – unfortunately – is a situation that has become far too common these days… Many of the publics look like this, with lots of GTM activity accompanied by little new business. And Company B – this looks like a company in growth mode.  Dare I say – Company B’s 250% GTM Efficiency Ratio actually looks pretty darned good…. So long as you can confirm its potential to lean into upsells & expansions when it’s time to do so. #SaaS #Metrics #GTM #Benchmarks

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How can you be more strategic in RevOps? - Move from report jockey to strategic advisor? Here’s a tangible example: - Suppose we’re running a Pipeline Council meeting... - We start showing CQ pipeline and forecast are on target Then, we show the pipe gen for the next quarter is not on track. Here’s how we could tackle the conversation: 𝗪𝗵𝗮𝘁 𝗮𝗿𝗲 𝘄𝗲 𝗮𝗻𝗮𝗹𝘆𝘇𝗶𝗻𝗴? - This slide shows our pipeline for next quarter. - Current progress is $1M against a target of $3M - We’re behind pace to hit that $3M target on time. 𝗪𝗵𝗶𝗰𝗵 𝗞𝗣𝗜 𝗶𝘀 𝘁𝗵𝗶𝘀 𝗿𝗲𝗹𝗮𝘁𝗲𝗱 𝘁𝗼? - This will impact one of our major KPIs… - New business bookings for next quarter.” 𝗔𝗿𝗲 𝘄𝗲 𝗮𝗵𝗲𝗮𝗱 𝗼𝗿 𝗯𝗲𝗵𝗶𝗻𝗱? - We have about 40 more days here - To increase our pipeline generation - In order to close the gap we have today 𝗪𝗵𝗮𝘁 𝗶𝘀 𝘁𝗵𝗲 𝗶𝗺𝗽𝗮𝗰𝘁? - If we stay at the same pace - We’ll likely only reach $2.2M in pipeline. - We would likely miss next quarter’s revenue targets. 𝗖𝗮𝘂𝘀𝗲 𝗼𝗳 𝘁𝗵𝗲 𝗽𝗿𝗼𝗯𝗹𝗲𝗺: - We can see the issue is in the enterprise segment. - We’re creating about 1/3rd the opportunities we need 𝗦𝘂𝗴𝗴𝗲𝘀𝘁𝗶𝗼𝗻 𝗼𝗳 𝗮 𝘀𝗼𝗹𝘂𝘁𝗶𝗼𝗻: - We’d suggest having a 2nd meeting - Looping in marketing and field sales - To brainstorm a one-off campaign here - And how we can close this gap together 𝗢𝗽𝗲𝗻 𝗶𝘁 𝘂𝗽 𝘁𝗼 𝘁𝗵𝗲 𝗴𝗿𝗼𝘂𝗽: - Other ideas to beef up pipe gen in the next 40 days? This is the fundamental difference in being strategic - We’re identifying a root issue and a potential solution - We’re making it easy for leadership to respond to this data - Not asking them to analyze data and make conclusions alone But what do you think? What would you add here? 🤔 More on this in in yesterday’s 📰 𝙍𝙚𝙫𝙊𝙥𝙨 𝙒𝙚𝙚𝙠𝙡𝙮 📰 Get it here: https://bit.ly/4cDUcVO ✌️

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10 things SDRs should get for Christmas... [this list is 100% NOT exhaustive...] 1. More commission on multi-stakeholder meetings 2. More recognition from senior leaders and founders 3. More support from their AEs on understanding business pains and ''speaking'' prospects language 4. More training on problems that their ICP prospects face in their day to day 5. More SDR managers who say ''well done'' and ''thanks for the hard work'' everyday 6. More accurate phone numbers so they can more conversations [phone still wins] 7. Someone to remove automation from their day to day for just ONE WEEK to prove they can win without it 8. HR to provide training on soft skills of having a sales job with lots of rejection 9. The CRO to pick up the phone once in a while and say ''Mrs SDR - you're hard work is so appreciated'' 10. Fair pay for everyone and an attainable OTE. What would you add? ♻️ Repost, so Santa [CROs and Founders] see my Christmas list... PS. Thanks, my SDR friends! 🎅

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Struggling to scale your mid-market business? Scaling isn't just about getting bigger – it's about getting smarter. In this week's The Wise Exit newsletter, we're diving deep into scaling strategies for mid-market firms. You'll learn: - The difference between growth and scaling (most get this wrong). - 5 key strategies to scale your business without losing your shirt. - Common mistakes to avoid (we see these all the time). - Case Study: How Zapier scaled without traditional VC funding. Whether you're planning to scale, sell, or just curious about what's next, this issue is packed with insights you can't afford to miss. Read the full newsletter here: https://bit.ly/3LHo7Ra Don’t miss out. P.S.: Follow me for more content like this.

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30% Sales Growth: How James Achieved It (Read on to get the same results) 📚 In February 2024, James was struggling in his B2B SaaS sales job. He found himself constrained by common pain points in his role. → Difficulty converting prospective leads → Frustration with back-to-back pointless emails  → Inconsistent system to close deals That’s when he reached out to me and tried Keyzii. Through Keyzii, he was able to: → Reduce friction points between initial contact and final close with clients → Enhance the relevance of his communications and emails  → Personalize every interaction with clients Within a week of using Keyzii, he increased his sales growth by 30% and ended up outselling his entire department. James wasn’t lucky or just in the right place at the right time. Instead, he was consistent with Keyzii and utilized every tool Keyzii offered to its fullest. “Yeah, but our current system works for us” That’s a valid point, but let’s think about it. James also had a system that “worked” for him, but it wasn't until he made the switch to Keyzii that he saw transformative results. → Are you achieving your sales goals consistently? → Is your follow-up process as streamlined and effective as it could be? → Is your conversion rate what you want it to be for your inbound leads? Keyzii doesn’t just work; it optimizes your existing processes and turns potential into performance. Sometimes, a mediocre system can prevent you from seeing how much better it could be. James took the leap, and it paid off—30% sales growth in just a week. Imagine what it could do for you. Don’t let “good enough” keep you from your goals. Try Keyzii today and transform your sales strategy. ___ Check Out Keyzii Today Connect faster, sell smarter  🔽 Get a Free Demo at Keyzii.com 🔽 ___ I'm Sergio Fernandez I help B2B SaaS companies capture potential leads and close more deals Click my name + connect with me! 

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Renewals are the lifeblood of every SaaS company. However, we don’t talk enough about what makes a great AM/CSM who handles renewals. Since there are so many lists on what makes a great AE, I thought I’d take a stab at what makes a great AM/CSM who handles renewals: 1/ They prioritize the renewals that move the needle Renewal rate comes down to simple math. What renewals are going to move the needle for them? Great AMs/CSMs spend their time where they’ll get the most bang for their buck. 2/ They prepare 6 months in advance Average AMs/CSMs prep 3 months in advance. Great ones plan 6 months in advance. This includes asking hard questions well ahead of time during a mid-year QBR, so they know where to spend their time. 3/ They can re-sell the product Stakeholders change. Priorities change. Competitors try to break in. Great AMs/CSMs can sell the product as well as their AEs and know how to position their value props and handle objections. 4/ They know how to negotiate I don’t know any procurement person in the post-ZIRP era who doesn’t try to negotiate their contracts. A great AM/CSM knows how to turn negotiations into win-wins. 5/ They know the difference between procurement and decision-makers Similar to point four, they know how to negotiate and with whom. Negotiating with procurement is much different than negotiating with a key stakeholder. Each party wants something different, and it’s important to recognize what that is. 6/ They know how to rope in their AEs or extended teams Just like the best AEs know how to “quarterback” deals, a great AM/CSM knows how to rally resources to help with renewals. AEs, Execs, SEs, and Professional Services can all be brought in to help show the customer extra love. 7/ They develop a renewal champion We always talk about champions in the presales process, but not enough about champions during renewals. A great AM/CSM knows how to develop champions to help push renewals through. An AM/CSM who knows how to do these things is worth their weight in gold. Keep them happy as long as you can!

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PSA for your 2025 plan: it's not an ICP-focused go-to-market if you don't have a list of target accounts in your ICP. It's tempting to spend 99% of your time on *engaging* accounts and only 1% of your time on *picking* accounts in the first place. I think that's a mistake. What it leads to: -- Generic & stale account lists -- Over-indexing on industry & company size for selecting accounts (don't get me started on off-the-shelf industry classification data...) -- Missing 1st/3rd party signals (ex: hiring activity, champion movement) that would allow you to run relevant campaigns to these accounts -- Little/no back-testing on whether these accounts are predictive of where you have the best chance to win & retain -- No buy-in between marketing, product, sales, sales dev and CS -- Garbage in, garbage out My (unsolicited) advice: dedicate (more) time/resources to your target account program. Bonus points if you: 1. Treat it like a program, not a one-off 2. Align the team 3. Validate with back-testing -- 🎁 See how Mutiny got it right via Growth Unhinged: https://lnkd.in/eM6r2q5Z #marketing #icp

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Too many marketers think automated #email #marketing works this way. Why? Because they start with the software, then focus on content – but it should be the other way around. When starting a #B2B email campaign, test manually first. Identify what works, then automate. The goal is to automate hyperpersonalization – sending tailored messages that speak directly to each prospect’s needs. This increases engagement and drives better results, all while keeping it personal.

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SDRs who deserve to be AEs... ✅ Help coach other SDRs ❌ Are in it for themselves ✅ Hit quota every month ❌ Sometimes smash it ✅ Build amazing internal relationships ❌ Moan about their AE and Manager ✅ Prioritise the team winning ❌ Think they're an individual contributor ✅ Train every single day ❌ Believe they know it all ✅ Compete against themselves ❌ Compete against others in the team ✅ Are genuinely happy when others win ❌ Get bitter when others are successful 99% of success is in WHO you are. And HOW you do things. Embrace being different. Embrace being better. What am I missing? ---- PS. My SDR to AE bootcamp closes tomorrow. 5 seats left; https://lnkd.in/ejFQERRF

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Does your SaaS struggle to increase revenue & maintain high profit margins? 99% of the time it's a sales process problem. Here's how you can significantly increase revenue without spending more money. {thread} 1. Review Your Sales Process This is the most crucial part in getting new sales. It is the glue that keeps things together. Without a consistent & updated sales process your prospects will be mishandled, leads will be nurtured incorrectly, and your sales reps won't be able to close. Until it is in sync with everything (will have to be tested) it won't be doing its job and your company will fall apart. 2. Enhance The Funnels Your funnels are the most important part of your sales process. It is what your leads are seeing in real time before purchasing your product. It must be formatted in a way that the prospect can easily follow and sell themselves into. You must be creative, you must follow up, and you MUST have your ICP dialed in. Outbound & Inbound funnels both work; they just need to be very specific & creative to work at full effect. 3. Leverage What's Working Utilize the tools that are already working. You see that targeted LinkedIn ads work for your inbound funnel the best? Scale that up and forget about anything else until you hit a cap. You see your sales reps are crushing KPIs? Invest into a sales director and invest into more junior reps. You can easily 2x revenue by just doubling down on strengths. 4. Create Compelling Sales Assets Your pre call workflows define the close Your post call workflows create the relationship and CLV The assets you send to a prospect before the sales call are almost always the reason they buy from you vs a competitor. The assets you send to a client/prospect creates the start of a relationship that makes the person stay loyal for life. You can easily 2x closing rates and CLV by just having super personal, creative, and well put together assets. 5. Develop A Stronger Offer Sometimes, the key to increasing revenue lies in the offer itself. Developing unique value propositions and fine-tuning your pricing models can attract more customers instantly. Understanding your market needs, ICP, and your own services is what sets your offer in place. Your offer isn't your services, most get it confused. Are you ready to scale instantly without excessive marketing spend or exorbitant capital? Book a free 30 minute consultation to see if we're a good fit- https://lnkd.in/gnPXyD43

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SWAT teams rather than armies. Hearing this phrase from lots of sales teams recently. And there is lots of logic - to a smaller highly trained (and coached ;-) elite team rather than a larger team, whether SDR’s or quota carriers. Here’s the drivers… - Sales Efficiency, the obvious one. Growth at all costs is gone, presumably forever. Cost of acquisition and sustainable growth are now key. - Raise The Bar, a smaller elite and well coached (couldn’t resist this time) team removes the weakest performers, the time and resources spent trying to pull them up and raises the bar for everyone on the team. - Bottom Up Economics, teams resourced based on on actual pipeline not multiplying quotas by team size. Quota carriers, even if good prospectors, can’t and arguably shouldn’t create all their own pipeline. If you don’t have the pipeline from SDR’s and inbounds, the team is bloated. - Elite is easier , With a smaller well chosen/recruited team, it’s more realistic with time and resource to help make them elite. And with an elite team, everything is easier. - Cheaper, it’s not just sales efficiency. It’s cost and budgets. They are smaller and what is possible or affordable has changed. What are you doing to create your SWAT teams?

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