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Adding Payments and Fintech to SaaS Can Be Great. But You Gotta Watch the Margins.

SaaStr

So in the Boom Times of later 2020 and 2021, almost every VC pushed SaaS companies to at least become a little bit of a fintech. It seemed such an easy way to bolt on more revenue to an underlying SaaS platform. Shopify now gets 2x the revenue from payments and merchant services than it does from SaaS subcriptions.

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Is it Really ARR? In 2021+, Yes. As Long As NRR is > 100%

SaaStr

So many startups these days are claiming they have “ARR” from revenue that … doesn’t recur. Doesn’t ARR stand for Annual Recurring Revenue? ARR now really means revenue with 100%+ Net Revenue Retention. 50% revenue from software (recurring), 50% from payments (not-recurring). .

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5 Interesting Learnings from Square, er Block, at $16B in Net Revenue

SaaStr

The majority of its revenue is now from Bitcoin transactions, not “traditional” payments and software. And yet … and yet … its engine is all software and really SaaS. Its software and services business is the one with the real operating margins. At least still for now. It’s core.

Payments 266
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Shopify Revenue Share: What Shopify Partners Need to Know (2021)

Baremetrics

Shopify has made it more profitable than ever to sell apps in the Shopify App Store. We’ve already discussed many of the huge updates they’ve announced for Shopify app developers. At the Shopify Unite 2021 event, Shopify announced a drastic reduction of their revenue share. Table of Contents.

Payments 105
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Top 10 Revenue Forecasting Software in 2021

Baremetrics

Revenue forecasting software is used to create predictions of sales. 1 Why Use Revenue Forecasting Software? Why Use Revenue Forecasting Software? Revenue forecasting software allows companies to forecast revenue and efficiently allocate resources in a way that optimizes growth and cash flow.

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FastSpring and DutchBasecamp Present: Optimize Local Pricing to Dramatically Increase SaaS Revenue

FastSpring

For many SaaS and software companies, international sales are a key part of their growth trajectories. These include how to account for local pricing and preferred local payment methods, varied buyer behaviors, how to display checkouts with local languages, and much more — all of which can be different for every country you want to sell into.

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5 Interesting Learnings From Bill at $1.2 Billion in ARR

SaaStr

Billion ARR, growing a stunning 48% (!) – 111% NRR, although down from 131% in 2021 – 15 Month CAC – Gotten very efficient, +$194m net profit – Transactions growing faster than software, like Shopify – From $120m ARR in… pic.twitter.com/hYImIBKyNQ — Jason ✨Be Kind✨ Lemkin  ?? And Far Bigger.