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The Typical Startup Saw a 24% Increase in Sales Cycle in 2023

Tom Tunguz

Sales cycles shifted dramatically in 2023. Slower sales cycles create pipeline shocks & startups are feeling the impacts. The average startup saw a 24% increase in sales cycle from early 2022 to 2023. Startups selling to enterprises have increased 36%, twice those of Mid-Market & SMB focused companies.

Startup 299
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The Change in Burn Multiple for Startups in 2023

Tom Tunguz

Burn multiple measures the capital efficiency of a startup. Startup burn multiples have changed markedly in 2023. In contrast, startups with higher operating expenses will reduce their burn multiple by 34-70%. In contrast, startups with higher operating expenses will reduce their burn multiple by 34-70%.

Startup 234
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Startup CTO or Developer

TechEmpower SaaS

What does it mean to be a CTO for a startup? Should a startup CTO spend their time programming? Here’s a graphic from Socal CTO that illustrates the roles as they change over time: In its earliest days, a startup’s top need is often to produce a product. What does the role demand? Exploring new technologies? It might be.

CTO Hire 390
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Carta: Startup Shutdowns Are Up 237%

SaaStr

Many Cloud leaders stock prices are way, way up in 2023, the Cloud platform leaders have re-accelerated, and leaders like Shopify are having close-to-record years. But for many startups, the hangover from the Excesses of 2021 is a real and tough one. Startups shutting down are up 238% this year — already. But Be Kind.

Startup 276
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Why 2024 May Be Tougher on Venture Capital Than 2023

SaaStr

And 2023 was the year of the Work Out in venture. It got real in 2023, and that realness got normalized. And public SaaS stocks in many cases did really, really well in 2023. But the reality is I’m a bit more worried the venture drama in 2024 will be bigger than 2023. The drama mostly was behind us. So I thought.

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Pilot: 57% of Venture Startups Will Need to Raise More In 2024

SaaStr

SaaS products and services like Pilot track the finances of 1,000s of SaaS and other startup so they’re an interesting source of hard data. Something that’s both not surprising but also pretty impactful: 57% of venture-backed startups will have to go “back to market” in 2024 to raise more capital. Carpe Diem.

Startup 313
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2023 Go-to-Market Survey - Understanding How Startups Have Shifted in 2023

Tom Tunguz

With all the broad macro economic shifts, startups are pursuing their core markets much differently in 2023 than in 2022. My goal is to understand how startups have evolved their sales, marketing, customer success, and cash management from the go-go days of early 2022 to 2023.

Startup 161