The OneMove nominees, upon election, will oversee Sylogist under a clear governance and capital allocation framework with measurable targets and defined accountability at each stage.
Every decision at Sylogist will be measured against these principles. No exceptions.
The operating budget is rebuilt from zero after the Board transition. Every line of expense is justified against a return, or it is removed.
Every dollar of FCF is measured against a stated after-tax IRR target. Capital that cannot be deployed at the hurdle is retained or returned to shareholders.
At Sylogist's stage, disciplined vertical-market-software consolidation produces a higher return on each incremental dollar than organic reinvestment.
A full review of portfolio, business segments, and competitive position. Capital concentrated on defensible verticals. Non-core segments divested. Open to a sale if it maximizes value.
The Commitment: Run go-to-market as a capital allocation decision. Every dollar invested in direct sales or the partner channel is measured against a strict IRR hurdle, with capital flowing exclusively to the initiatives that produce the highest return on incremental investment. This is fundamentally a cost-discipline and stewardship exercise: every dollar deployed must earn its place, or it is reallocated.
| Discipline | What Changes |
|---|---|
| Micro-vertical organization | Each partner owns one specific niche, not a territory. Examples: Catholic diocese ERP, K-12 district finance, municipal finance within a defined state. |
| Profitability-first measurement | We measure gross margin and profit per partner. Any unprofitable partner is demoted or removed. |
| Metric | Q4 2025 | End FY 2027 |
|---|---|---|
| Partner-channel gross margin | −20% | 35%+ |
| Partners with positive contribution margin | Establish baseline | >75% of roster |
| Partner roster strategy | Coverage model | Precision model |
The Commitment: Bring R&D spend below 13% of recurring revenue, representing $5M+ in annual savings versus FY 2025. The mechanism is the integration of AI into how the product is built, tested, and supported. Headcount will be reduced deliberately, in proportion to the productivity AI delivers, rather than through a reckless across-the-board cut.
| Priority | What Changes |
|---|---|
| Protect the core product | Keep the existing product stable. No rewrites or re-platforming driven by taste rather than customer retention or economics. |
| Cloud modernization, only where it pays | Cloud migration is executed only where it preserves customer retention or improves unit economics. Modernization is not a vanity exercise. |
| AI built into engineering, testing, and support | Sylogist uses AI throughout engineering, testing, implementation, and customer support. This drastically reduces the cost of building, shipping, and running the product. R&D spend falls while output rises. |
| Every R&D dollar priced on IRR | Every R&D initiative is priced on IRR before it is funded. Low-IRR work is cut. R&D capital concentrates on a small number of high-return products with measurable revenue or retention impact. |
| Metric | FY 2025 | FY 2027 Target |
|---|---|---|
| R&D as % of recurring revenue | 24.3% | <13% |
| Annual R&D spend reduction vs FY 2025 | Baseline | $5M+ |
| AI tooling adoption across engineering | Ad hoc | Standard operating practice |
| IRR hurdle applied to R&D spend | Not applied | Every initiative |
The Commitment: Restart M&A as the primary lens on capital allocation. Free cash flow is a finite resource and will be deployed against the highest-IRR opportunity available. In today's environment, that is disciplined roll-up M&A in Sylogist's core verticals, not organic investment in a cost base that has failed to grow.
| Priority | What Changes |
|---|---|
| Strategic review first | Conduct a full strategic review of the Company and its three segments (Government, Education, Nonprofit). Retain the most congruent and divest ones that no longer fit. |
| Vertical-market consolidator thesis | Execute a disciplined roll-up in the retained verticals. The goal is to be the premier consolidator in gov tech, ed tech, and nonprofit tech. |
| Strict IRR hurdle on M&A | Every acquisition must clear a defined IRR floor, enforcing capital discipline at every stage of the consolidator journey. |
| FCF deployed into M&A | Free cash flow funds the roll-up, prioritized over organic spend wherever IRR comparison favors M&A. Organic investments compete for capital at the same bar. |
By comparison: The Board's Q4 2025 earnings release and call in March 2026 committed to no revenue growth target, no margin target, no CEO timeline, no AI roadmap, and no forward guidance. The Board's current plan is, in substance, to stay the course. That course has destroyed more than 75% of shareholder value.