Great. All right, well, good morning and good afternoon to the folks in Europe. Appreciate you joining us for the first session of our BMO Virtual Software Conference. Dan Jester, BMO Software Research, and really appreciate you taking the time to spend with us this afternoon and tomorrow for the first software-centric conference that we've hosted here for many years. We're really excited for that. We've got 18 companies across this afternoon and tomorrow. So there's going to be a lot of great conversations and updates about how companies are evaluating the back half of 2024, which looks like it's going to be an interesting period of time for sure. To kick off our sessions, we have Paycor here today, which is a leading human capital management and payroll software company. We have Adam Ante, the CFO, and Rachel White, who runs investor relations. Thank you both for being with us here today. You're welcome. So in terms of logistics, for all the folks on the line, we'd love to keep this interactive. So just shoot me an email if you have any questions. I believe there's also a question asking button in the interface. And so if you want to use that, that's just get a question to me, as well. And so I'll do my best to work all of those into the flow of the conversation. So, maybe Adam to get started. I think, you know, everyone on this line knows about your company. You reported a few weeks ago, and so I think everyone's got a little bit of an update about the near term of the business. So I wanted to start in a little bit of a different direction. So next month is the three-year anniversary of your IPO. There's been so much change in the organization, right? You, new leadership, a bunch of new technology. You had your first user conference a couple of months ago. You've got your name on an NFL stadium. Like, you've done a whole lot over the last few years to really change the organization. I think sometimes that gets kind of lost in the shuffle for folks as they're starting to learn about you and how different a company this is today relative to just a few short weeks ago or years ago. So maybe just, you know, to give everybody some background, like, maybe we can start the conversation about sort of the couple, like, really big transformations you've worked on inside Paycor that have brought us from the company that it was a few years ago to the company that it is today. Yeah, certainly. Appreciate that context. It's been a really interesting, you know, four or five years when you look back at the growth and the trajectory of the company, hitting on a lot of the strategic initiatives and, you know, opportunities that we set out on. I think it really starts with 2018. That's when Apax made an investment in the company, and we changed leadership. We went from a founder-led to sort of, you know, professionally led, executive team, and the founder decided to move on. That's when Raul came in in the summer of 2019 and then set out, you know, I think the way that he thinks about it is a couple of things, like really nailing down the strategy and making sure that, you know, that we knew who we wanted to be and what direction we were going to go at, and then getting the leadership team right, and then changing the culture of the organization to a little bit more of a performance-based culture. From a strategy perspective, really said, you know, we have been historically a Midwest-focused company, that sort of Cincinnati, Ohio, Midwest, into Michigan and down into Florida following Fifth Third Bank footprint, which is a big partner of ours. And the primary strategy was to say, let's get expanded to the West Coast and expanded to the Northeast. We didn't have any sellers on the entire West Coast, maybe one in the Colorado area. So we started to expand nationally. At that time, too, we also got brought in a whole new leadership team, including, you know, myself into this role, but then rounded out our new Chief Revenue Officer, and Chuck Mueller has been in charge since 2020. And then, of course, we hit 2020, and while we thought that we were going to necessarily need to retrench, like everybody did, we then doubled into the business and took the company public a year later as we went through, you know, quite a bit of internal transformation as well. You know, as I think about, like, what the company did, because it's hard to balance this idea of the success we've had operationally and executionally with where sort of the position is within HCM and payroll today. I've been thinking about, you know, the last couple of years, what we set out to do, how we talked about what we were going to do, and then what we ultimately achieved. Again, it was really about two primary strategies in the market was around driving sales expansion and improving coverage in tier one markets. We've taken coverage in tier one markets from the sort of mid-teens to the mid-30% range, adding 20%+ sellers for the last couple of years. Then the other side of that strategy was expanding the product suite. When we started in, you know, right after the Apax acquisition, I would say that we were product disadvantaged among our cloud peers, and we've really doubled the suite, expanding much deeper into talent solutions, getting deeper inside of our HCM solution, our HCM core solution. And so we've doubled the amount of opportunity that we built into the product, and so those are, those have been the two things we focus on. We continue to be focused in those areas and continuing to, you know, deepen our coverage and expand our product suites today. So it's been a really fun three or four years, a lot of really great stuff. The company's been through, you know, this transformation and continues to execute, you know, we think really well against a huge opportunity in the market. That's really great background. So let's sort of pick apart a couple of those things and maybe starting first with the sales organization. So, one of the things that you commented on about is trying to get deeper into tier one markets. And to your point, you know, before, you know, a couple of years ago, you were in the teens. Now you're in sort of the mid to high 30s from a coverage perspective, but you've added several hundred sellers during that period, during that journey. And so as we think about the opportunity to get to 70%-80% coverage in your tier one markets, it seems like hundreds of new sellers. So how are you sort of organizing the selling organization to be able to drive that level of consistent scale? I know you've had some changes recently, and so maybe we can touch on that as well. Yeah. So as we set out upon that expansion, I would say in 2021, we only grew the sales force by about 6%, really low single digits. And in 2022 and 2023 is when we really started to expand. So right in the middle of that first year, we started to look at segmenting the focus in that mid-market seller because historically it was everybody focused on 50 +, 50 employees and above. And so we segmented that first from 50 to 250 and really tried to focus our early sellers in that space to say, okay, let's learn, let's you know, learn the product, go through the training, build up your broker relationships, and then we'll, you know, continue to move you more up market. I think what we found is that segment was just a little too narrow. And so these sellers would come in into the mid-market. They want to sell mid-market software deals, and they found themselves in more of a high velocity business where they had to write like maybe twice as much, in terms of the number of deals as they were expecting. So what we had seen was that, you know, sellers were either self-selecting and saying, hey, I just don't want to put in this level of velocity to get to this on-target earnings, or they just weren't simply successful. And so we've just recently recut that from 50 to 500. That's just creating more upside opportunity for those sellers inside of that segment. It's the majority of the market for us in either case. And now sellers can write, you know, a bigger portion of their quota with just a couple of deals in that, you know, 250-500 segment and round out the rest, fill out the rest, today or with where they're focused today. So we think that that's a big portion of what the opportunity looks like for them. And the number one focus for us, like the number one thing that we need to get right is just continuing to move those sellers along that maturity curve and get them to full productivity. And today it takes, you know, really like six months before they're writing any business. And then it's like that next 12 months is where they're really ramping up and building broker relationships. And by the time they hit their 24th month or that third full year becomes their full year of productivity. That's what we're really focused on today is just continue to progress with sellers through the maturity curve. To that point, because you just picked up hiring sellers in fiscal 2022, that means just that first cohort of sellers is reaching that 24-month and beyond sort of full quota aspiration. So, it feels like over the next like 1 year-2 years, you should have a much more mature sales force that can drive, sort of better outcomes. Is that the right way to think about it? And is there anything else you're sort of fine-tuning on the sales front to drive better outcomes in the next fiscal years ahead? Yeah, I mean, I think that's the right way to think about it. We, of course, experienced higher churn over the last couple of years. But those sellers who, yeah, came in in 2022 and even 2023 are starting to get, though, the ones that have stayed are starting to get to the next level of maturity. The majority of our sellers are still haven't fully ramped. So I think that's a really big opportunity for us in the 2025 and beyond to see, you know, outsize maturity. I think one of the other things that we're focused on, too, is maybe going deeper in markets in these Tier one markets where we have those opportunities. So instead of expanding into more junior regions, let's get deeper in the markets where we've seen more success. Like LA has been a really great market for us, and we've expanded quite dramatically there. We'd love to just continue to go deeper there and make sure that we get to the right coverage levels. We think that that, you know, you get to leverage more of the infrastructure you've built in those markets, the leadership that you've developed in those markets once you have that that motion down really well. So we think that's another opportunity for us. Okay. So maybe we can talk a little bit about the new client journey for you. You know, my understanding in HCM sort of just generally is, sort of the hottest leads at the top of your sales funnel. They, you know, you have got a set of customers who have a problem, like an immediate urgent problem, like their current provider messed up. And then there's sort of another sort of like very diverse set of longer tail, you know, idiosyncratic issues that, hey, like I'm in the market for a new software solution for whatever reason. Like if you think about those kind of two sets of opportunity, one is sort of like your customer has a problem today, or two, your outbound organization is just so good cultivating them and they're going to change even if they don't have a problem. Has that sort of mix changed over time for you? I guess what I'm trying to figure out is like how economically sensitive are some of the factors that drive new customer acquisition trends for you? Yeah, I don't think that we've seen a significant change in trend with those dynamics. I think, you know, what you tend to see is that when folks have a problem and, you know, when it's your payroll, it's a challenge. If you have an issue with your payroll provider, and we have our own issues, you know, that create customer pinches. So when we see those opportunities, that's what tends to be the driver of a change in the first place. I think there's really two dynamics that we have in terms of the value prop that we position, and it you can sort of adopt it to the times. The first is on the payroll side, can be on the payroll side and HR system of record and workflows is that there's significant opportunity to drive efficiency. What we find, because we create these ROI tools, what we find is that our solution creates like 3x-5x efficiency on whatever the, you know, the spend is on the recurring side for the clients, whether that's through reduced workflow, simplified workflows, improved data, you know, flows, and then simplification of things like tax issues, you know, managing tax issues through. The other half of it is on talent attraction and talent management, right? Even if you're not growing your organizations substantially, you are still usually hiring, folks. And the ability to hire and onboard them simply and then drive, you know, strong talent management and performance management, workflows and cadences is really critical to organizations. We've seen that be even more critical over the last four or five years, and that continues to be, you know, a really important dynamic. So if you're either looking for just a strong ROI and you need to build efficiencies, or you're trying to manage your organization better, you know, both of those value props have been, I think, consistent. You know, clearly folks will pivot one way or the other, but those dynamics have been, I'd say, fairly consistent over time. Okay. And then on the product, which is the other sort of big area of focus that you mentioned in the beginning, you've massively expanded sort of the amount of PEPM that your sellers can sell, right? And I think, you've expanded the number of modules, like you split apart talent into two separate offerings. So like clearly the velocity on the product development side of the company has really sort of picked up. I guess what has allowed that to happen? Is it just new people or their new processes, or are you looking at the market in a different way and sort of trying to develop to sort of skate where the puck is going, so to speak, in terms of being able to drive that product growth, which has been very impressive over the last couple of years? Yeah, I mean, well, first I would say, you know, it's driven by the investment that we put into the chief product officer and our chief engineering teams and product teams. We've made a lot of investments there. We've brought in a lot of great people, and they continue to, you know, organize and drive, you know, customer alignment. The majority, you know, maybe not the majority, but I think over 900 specific pieces of functionality have been driven by the customer and through internal processes that we built, you know, into that engineering and product development life cycle, more than 900 items over the last year, you know, built into the product driven by our customers. So I think that that that's a big piece of improving, you know, the individual functionality, rounding out the edges, and also listening to the customers. And then we're also very intentional about new products. As you mentioned, we've added quite a bit. We added just within the last, you know, year and a half here, a candidate sourcing tool that's AI enabled. And that's been we've seen a lot of success there. That's been really well received. So from things like that through inorganic, and new organic, development, I think the team's done a really great job over the last couple of years just expanding our capability and, you know, to your point, skating to where the puck is going. Okay. As I think about the product suite today, maybe we can sort of talk about AI for a moment and how you think that is going to affect, either your ability to improve your development, your ability to execute on use cases, your ability to drive better outcomes for your customers and greater efficiency. There's a lot sort of of potential. It feels like it's still relatively early days, but would love to kind of get your sense as to kind of for you specifically, what are the one or two most important sort of AI-driven themes that we should be thinking about, over sort of the next year or two? Yeah, well, I mean, we're definitely. There's definitely a lot of opportunity and it seems like a lot of it is on the come still. You know, we're leveraging it both into the suite and looking for opportunities to leverage it internally. So we are working on both of those things. We think there's a lot of opportunity really within the product to, you know, enable our clients with more insights to help them get through their workflows more effectively to make sure that they're, you know, engaging in the product the right way when they, especially on the admin side, that they're able to manage it. And then within the performance management side, it feels like it's a little bit more of, you know, the right level of engagement at the right time versus them having to sit inside of the product and work the product. So we're really excited about that. There have been some very specific things like the candidate sourcing tool that we've been able to launch and then charge explicitly for. We've also seen opportunities like job description generators and analytics and predictive resignation type capabilities that maybe haven't shown up as an incremental PEPM to charge and sell, but that just enable deeper functionality and clients appreciate those use cases. As we think about, you know, some of the opportunities internally, of course, like Agent Assist has been an easy one to sort of wrap your head around and jump right into. So we continue to evolve that. And I'm really excited with where, you know, that will continue to evolve. As we look at, like, Copilots internally, I think, you know, smaller companies with smaller dev teams, especially newer ones, it seems like have been able to adopt and use Copilot technologies quite a bit more rapidly than larger organizations with deeper tech stacks. So we're excited what we see in some of the products. I'm not sure that the impact is going to be quite there in the very near term, but we have seen more and more adoption of some of the Copilot. And I think that, you know, again, over the long term or the right period, we're really excited about what that's going to be. I think the number one thing that we're focused on is, you know, to the earlier point of making sure that the AI is really enabling our customers to have a better experience with the product, to round out some of the rough edges, to make sure that they're engaging in the right times and the right ways. And there seems to be more of an opportunity to communicate through using AI and, and nudge the our admins along, our employees along, our customers along the lifecycle of the workflows that they're working on a day-to-day basis. So that that's what it feels like maybe in the near term. And we'll continue to, you know, evolve, I think, where we're seeing the AI show up. We're excited about a couple other things that we want to launch in the coming months as well, that might have a little bit more of that LLM feel to it. So there's a couple of areas that we're really excited about. Okay, so maybe we can put on your CFO hat for a little bit, and we can talk about the numbers. And so, you know, one of the questions I get around your business is, you know, you had a great acceleration on the top line from a growth perspective, kind of exiting the pandemic, and things have slowed down. And it's not just you, right? It's many, many software companies, over the past kind of 6 months-9 months that we've seen a, you know, this level of growth deceleration. And so maybe taking a step back, like, how do you think the medium-term growth algorithm for your organization has changed, if at all, from where you stand today? What are going to be sort of the key drivers? Clients, PEPM, new products, price increases? Like, how should we be thinking about that dynamic, not for this quarter or next, but sort of over the next couple of years? Yeah, I mean, clearly coming out of COVID, and into that 2021, 2022, and then 2023 timeframe, we hit that 22% recurring growth, which was a little bit faster than what we had anticipated coming out of the cycle. And it looked, I mean, there were a couple of great tailwinds, right? Same-store sales growth and the labor market continued to grow outsized relative to, you know, historical trends. And then the ERTC program came through, and that was a, you know, another little tailwind. Those things are really wrapping up right now. And it looks like the labor market growth is going to be more of a headwind than it will be a tailwind in the medium term or the short term for sure. And then the ERTC program is effectively done. It'll be a little bit more of a drag as we think about like the first half of next fiscal year of FY25. And then that program, it doesn't seem like there's going to be much left there. So those are some of the things that we're thinking about. As we think about the broader market opportunity, we still see that the majority of the market is uncovered by modern solutions. Like half of the entire market is really shared between regional providers and these in-house ERP providers that are on these legacy solutions, definitely not modern solutions. They just can't keep up with either the complexity and the compliance and the change in labor laws and changing dynamics around payroll, and then into the talent and the rest of the broader HCM suite. We think that continues to be quite a bit of a dynamic that's going to be, I think, a tailwind for a long time in a market. Most of the market share gains are really coming from that space. And so as we think about like what the balance of or the mix of growth will be for us in the coming, you know, quarters and years, it has really been split between employee growth, which most of that has been net new business, just the new business coming on with a little bit of that same-store sales, and then the rest coming from this PEPM expansion, which is really driven by like a couple of dynamics. I would say, you know, price increases continue to contribute there. Cross-sale opportunities continue to contribute. And then we've had this dynamic of the net new business, coming on at a higher rate than our average portfolio. As we've just expanded our product suite, we sell more at the point of sale. And so we've been able to lift PEPM there. And that's been split, I'd say, pretty close to evenly in terms of employee growth and PEPM growth. Expectations going forward, especially as we've added this new reseller channel, this embedded software channel, I think that you're going to see a little bit more from the employee growth side, just a little bit more new business and net new business coming on. And then it will be a little bit tempered on the PEPM side, just not quite the same level of expansion PEPM as you see a little bit more volume driven through the employee side. I think that's a medium and even a long-term dynamic that we'd expect. Okay. So there's a couple of things to sort of break apart there. So first on sort of the back to the base and sort of expanding, like you have all this new tech, you've got customers that don't use it yet, you got to you got to sort of sell it to them. You know, I think historically in HCM, there especially in the sort of the mid-size company range, that back-to-the-base motion hasn't really ever sort of been matured or maybe ever is too strong a word, but it doesn't always seem like it's that that mature. So like for your organization, now that you've got over $50 of PEPM that you can sell, what specifically are you doing to kind of go back to the base, educate the customer base about the ROI opportunities of the new tech that maybe they didn't look at when they joined a couple of years ago, and sort of help them along that journey to expand their relationship with you? Yeah, I mean, I think you're absolutely right. Especially in the mid-market, it has been a market share take, strategy out of almost everybody for the last, you know, 10+ years. And since we've expanded the product suite so much, I think you're right. There's still a lot of opportunity to go back into the base, and even into more recent customers and add products that we've, you know, just added over the last couple of years. One of the things that we've tried to simplify is our bundle strategy so that we're not just selling each individual item to everybody, but that we can go back with the whole talent solution. And you might have a piece of the performance management, or you might only use, you know, one-on-ones, and we could say, "Hey, here, let's upgrade you to this full suite of solutions around performance management or talent attraction." And we've seen some success, some continued success with that. The HCM core bundle too is a really important dynamic for us. Every year we try to put more and more into that core, and we'll, you know, continue to look for the right balance, what's the right sort of, blend of products, there so that it doesn't get too big either, but that it has the right mix that most of our clients need everything in there. And then we'll either cross-sell that into customers who aren't yet in the core solution or continue to upgrade folks that might have bought that core solution a couple of years ago. That motion has been really successful so far. And to your point, we haven't over-invested there. We got a great team in that client sales organization that continues to grow. But we think that will continue to be a lever over time, as we continue to expand the product suite and keep that bundle strategy going. Okay. Does that take a greater share of resources now that, maybe in the near term you've got a little bit more kind of uncertainty in the macro? Do you sort of rebalance the portfolio to attack that, or is this something that's just going to develop kind of like organically over time? Yeah, I'm not sure that we're going to necessarily reallocate resources there. I think there's a couple of things to keep in mind as the client sort of there is a level of client maturity that you want to see, right, where the client can get in. They have a successful implementation and onboarding experience. They have good service experiences. And let's not, you know, forget the payroll aspects of performing payroll and the annual reporting. All of that is absolutely critical and table stakes and foundational. So we want to make sure that we get that right. If we have bad experiences there, you create poor customer experiences. And it doesn't matter how great the other solutions are. You know, customers will go look for a different provider. So we want to get that right, make sure the clients have a good experience. And then we're coming back with that talent motion if they didn't acquire it at the point of sale or maybe upgrading even to some of the workforce management solutions. So that's still the number one thing. And then, to your point, I think that we'll continue to evaluate what the right investment is in the on the field side. And do you over not over-rotate, but do you want to rotate to the client side? We haven't seen that as, you know, necessarily a near-term thing where we want to over-allocate or sort of reallocate resources at this point. Okay. Maybe turning to embedded. Embedded payroll offering that's going to eventually become sort of a broader HCM embedded opportunity, for the partners that you've signed there. I guess, you know, for me, you know, if the core business of selling direct to small businesses and medium-sized businesses, if that business was doing really well, like, why do you need an embedded offering? Like, why do you devote resources away from developing sort of the key product and sort of have what I suspect might be some secondary workflows associated with having that product be effective for, your your platform partners there? I guess maybe, you know, can you go back and rewind the clock on embedded? Like, why did you choose to go this route? Maybe an update in terms of kind of what you're seeing from demand from these platform providers to embed you into their solution? Yeah, you know, one of the interesting dynamics inside of the mid-market and the payroll HCM segment is that for really like the entire length of the market, it's been a face-to-face sales cycle. All of our competitors, face-to-face, field-based sales organizations. And you can understand the complexity around buying a payroll solution. You want to make sure it works for you. It's going to have to fit your specific workflows. And so there hasn't been an adoption, or at least not at any real sense, of vertical or of virtual selling. And unfortunately, that's like the single most expensive thing in the entire model is the cost of acquisition. Now, of course, we've been growing. We continue to grow. We want to make that cost of acquisition more and more effective, and we need to get that more effective. I think, but one of the things that we're excited about as we sort of have been investing pretty heavily in this interoperability of our platform, you know, and we were investing in it to, you know, for acquisition so that we can consume acquisitions more effectively so that we can partner with third parties, you know, improve reporting capabilities. All of that has come together. But we started to see this other opportunity to say, well, if we could reduce the cost of acquisition incrementally to zero, and, you know, we're third in a list of three players in this sort of mid-market space. So let's be more competitive. Let's go try to find these areas of the market that we haven't gotten into yet, that necessitate vertical-specific, like ERP solutions or POS solutions or workforce management solutions. Let's go enable them to sell, you know, our horizontally scalable solution, right? Because payroll generally works across all verticals. Then you have these other vertical-specific solutions that sort of touch the same data. So we saw this as an opportunity to say, let's go be more competitive in these places. And actually, I should say more competitive against our competitors, but you end up going into these areas where you're not competing with anybody. And that's one of the huge benefits, right? The value prop to the customer when they're using a vertical-specific ERP solution or workforce management solution now enabled by, you know, a world-class payroll solution that those software providers couldn't, you know, previously offer. It should be the most competitive way to go to market for those customers. So we see it as an opportunity to say it's a many-to-one now sale selling opportunity. And we can have the opportunity to capture market share, where we maybe weren't where it was too expensive, and the ability to scale with this really expensive field, you know, higher. It just takes a long time to build up the capacity on that field sales, which of course, you've been seeing, like it just takes a long time for us to build the capacity on the sales side. Okay. And on the embedded side, you know, you see this in other things, embedded finance and other sort of solutions, which are being embedded into sort of these, as you mentioned, sort of vertical platforms. Sometimes there's some service challenges associated with that, right? Because the customer is not the end customer, right? The customer is a customer of your customer. And so as you're thinking about the ability to kind of scale that and resource that effectively, I know it's still very early days, but are, you know, have you seen anything that suggests that the efficiency in which you think that this solution can provide to you is any different than, you know, a year ago when this was still in earlier stages? I don't think it's any different from where we anticipated going, but I think that some of the things that we've learned in the operating model and the business model over the last, you know, 12 months-18 months is that you we really need to focus on the service enablement and the sales enablement dynamics. Those are the two things that we're providing. We're providing service and sales enablement to the partner, right? They're managing, in most cases, they're going to be managing the tier one service to the customer. And so we need to make sure that they are fully trained up, that they have all the latest, they understand how it works, they understand how to navigate back to us as well to resolve the challenges. They understand our business processes. And so we've had to, you know, evolve a lot and support the partners, you know, through their initial stand-up and launch phases. And so same thing on the sales side. You really got to go to market with their sales teams and make sure that they understand the value prop, how it works, the right what to say, what not to say, like don't overpromise, like let's get make sure that they understand how the functionality works, how it integrates, really well, the pricing dynamics, how to price it, where to include it. So we've done a lot of sales and service enablement, in terms of how we've invested back in our partners and stood up that capability over the last year. I think that'll be, you know, the big difference. You know, we're always going to have to be on the lookout for going to market with good partners. I think that'll be an important dynamic. If you pick partners that don't value the same service, they're not valuing like how their product is going to go to market, you know, we'll want to avoid that as best as we can. Okay, so August is coming up, and we're all waiting patiently for sort of your updated views about what next fiscal year could look like. But maybe a teaser from where we stand right here about sort of like what are the key puts and takes. You already talked about ERTC. Embedded feels like it's a little bit of a tailwind. Same-store sales growth is going to be a headwind. So maybe just sort of map out for us sort of the major puts and takes you see as you're putting together the 2025 guidance. Yeah, I think there's like four key dynamics, and you mentioned a couple of them, and we've talked about them all. I think, you know, the three sort of potential headwinds and things that we want to make sure that we get right going into next year are clearly going to be the macro and like what's happening in the macro. And this has been a dynamic for the last two years. We've been trying to figure out the macro as it's been, you know, pretty wild relative to historical trends. So we'll continue to evaluate the macro and see where those trends are going. ERTC will care for effectively, you know, a point of degradation there because we're not going to plan for anything there. And then the balance there from a conservatism perspective will really be how is the sales, retention, seller retention, and the new segmentation working as we get into this year, right? And this dynamic of June is a really important month for us as we close out our fiscal year. And then September, October, November will be really big. Those are big selling months in the fall. So those dynamics coupled with the retention is going to be, you know, an important consideration as we set the guidance. And then I think you're right. I mean, the tailwind will be on the embedded side or the reseller side. There the lead time to full ramp is long with these partners, right? So we'd love to see a couple of these. We've signed a couple more partners that we announced here over the last, you know, couple months, in our earnings. We'll want to continue to book a couple of those. We'd love to get a couple of larger, you know, brand names that are going to help set the stage for the next cycle of growth. We have a migration that we're going through right now with one of our partners. Making sure we get those right and we have a good visibility to what those portfolios are going to do could be a little bit of the tailwind of bright spot. Okay. And then maybe moving down the income statement, you've got float, which, who knows what the world is going to look like in 12 months, but it's something that you have to manage. It's been a big benefit to the business over the last couple of years. Probably not as much of a benefit going forward. How are you thinking about that? Yeah, I mean, well, rates look like they're going to shape up to be flatter this year than they are necessarily declining. But we are sort of a recipient to your point of what happens in the market there. What we did when we came into these rate increases, we really were intentional about saying, hey, we want to take these dollars and we want to go invest them back into product expansion and the sales distribution expansion. And we were really intentional about that. We manage the business on a recurring basis, though. And so when we look at like G&A investments, when you look at gross margin and we strip out the dynamics of float, you know, over time we've continued to expand margins and drive leverage out of those. And we want to continue to do that. I think we're not anticipating leveraging incremental interest income to go put back into incremental projects at this point. I think we're at more of an inflection point where we're saying, hey, we're expecting to see and we want to see more free cash flow expansion. We're seeing, you know, free cash flow expansion faster than our operating income expansion. That's a dynamic that we, you know, are going to anticipate. Whether or not interest income goes up or down, it won't change the way from our perspective how we invest in the business at this point. Okay. And then to that point about sort of core underlying business profitability, you know, you've certainly made improvements there, both on sort of the adjusted EBIT and also the free cash flow side. How are you managing investments going into next year? And, you know, how should we be thinking about sort of the different line items, gross profit, adjusted EBIT, and free cash flow? Yeah, I mean, gross profit has seen like some steady expansion even when you strip out the D&A because the amortization has its own dynamic related to the implementation investments, a lot of investments in implementation to scale the sales side. So when you take those out, you can see really steady and improving margins. There’s a couple of investments that we’re making around that that are important. One, we’ve really focused on these premier set of experiences, premier support, premier implementation, and giving dedicated, sort of guidance on, related to sort of one-time services around implementation. And so we’ve seen that these could be really positive, to drive retention, deeper investments in the or deeper engagement in the product. We’ll see how that what that adoption looks like and what that, you know, impact to the margins would be. But our expectation is we want to keep that, you know, our margins flat to improving on the gross margin side still, even inclusive of that over time. As you look at, you know, the sales and marketing, the majority of our investment continues to go back into distribution expansion and the product. Those are the two areas. And so right now, clearly, one of the bigger dynamics of investment in the sales side is going to be how fast are we growing our sales organization, right? One of the dynamics and honestly, one of the benefits of slowing this down just to get the motion right will be it will drive more free cash flow because you're just simply not hiring sellers who aren't ever contributing. So I think one of the benefits would be let's get this right, get the motion right, get the growth levels right, and it will drive more productivity, and it will lead to, you know, faster free cash flow expansion. On the product side, you know, we sort of like where we're at. We're in that sort of 14%-16% of recurring revenue on a gross basis. And I wouldn't foresee that necessarily changing in the immediate term. It's something that we have. It's a lever that we can pull, but we continue to be focused there on innovation and adding new product functionality and deepening the functionality that we have inside of the, you know, the core HCM, payroll, and HR suite. And then, you know, we want to continue to see the expansion across the G&A. You've seen, you know, good margin expansion from G&A, and no reason we should be, you know, pulling back from that in any near term. Okay. We've got about 60 seconds left. One last question. You know, we talked about the company evolution. We talked about the product evolution. We talked about sort of the framework for thinking about next fiscal year. I guess for you personally, as the CFO, like what's the number one or number two projects that like you're working on and like you got to get right over the next 12 months, to set up the company for the success in the future? Yeah, I mean, I think like the two challenges that we have strategically, that we're focused on investing in are the same two challenges that, you know, I'm focused on as a CFO and an operator here is to make sure that we get the sales motion down and that we have the right, sort of ability to expand and that we're not overinvesting or underinvesting in that expansion. We want to make sure we get that balance right. And then, you know, continued scale of the operations of the business. And I think that will really show up in the implementation and onboarding. Those two areas between sales and implementation represent, I mean, that we put like 45% of our revenue back into that motion. I think that getting that motion right and driving the right efficiency out of that so that we can drive more free cash flow and continue to grow is got to be the hardest thing to do in the business, you know, grow while you're also expanding free cash flow. Those two dynamics are what, you know, I'm focused on, our executive team's focused on. It's our number one strategy right now. Fantastic. All right. Well, Adam and Rachel, appreciate both of your time. It was great talking to you. Thanks so much. Thanks, Dan. Always good talking to you. Take care. Bye-bye. Bye.