Dear SaaStr: How Much Cash Should a SaaS Company With $24m ARR Have on Hand?
SaaStr
AUGUST 14, 2025
Dear SaaStr: How Much Cash Should a SaaS Company With $24m ARR Have on Hand? At $24M ARR, you should aim to have at least $12M in cash on hand. The general rule I follow is to keep about 50% of your ARR in cash once you’re past initial scale ($3M-$4M ARR). This ensures you have enough to invest in growth, make accretive hires, and avoid underinvesting at a critical stage.
Let's personalize your content