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

SaaStr

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. And realistically, most won’t have the metrics to pull off another round. VCs don’t give startups 10 years of capital.

Startup 301
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TAM is Great. But What Really Matters is That You Believe You Can Hit $100m ARR in 7 Years.

SaaStr

Worth hiring a sales team, raising some venture capital (even a modest amount). And I can say now, looking at 30+ venture investments, the ones where TAM held them back, in the end, were ones where they couldn’t really do the above analysis. And so it is, although we didn’t capture 100% of it.

Scale 198
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Pitchbook & IVP: Top Tier SaaS Companies Usually Raise at 15x ARR. It Was 114x in 2021.

SaaStr

So there are a lot of rough and arm chair metrics for fundraising in SaaS in terms of valuations. So the minor point is maybe we’re just back to 2016-2017 in SaaS venture capital for Series A and later rounds. Even If It’s Awful for Series A-E Rounds. For the best ones. It Was 114x in 2021.

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SaaS companies quickly replacing subscriptions with usage-based pricing

OPEXEngine

There is an appetite for usage-based pricing, and we expect this to continue to accelerate in the coming months,” says Kyle Poyar, operating partner at OpenView, a venture capital firm. It has tended to be used most in infrastructure platforms, like AWS, Google Cloud, and Azure. Closely watched SaaS metrics.

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State of the Cloud 2019: Europa Edition with Alex Ferrara, Bessemer Venture Partners (Video + Transcript)

SaaStr

What I’m going to do is talk a little bit about what we’ve seen over the course of the last year and then also talk about some metrics we track or we encourage our founders to track as they’re building their businesses, and then, lastly, try to go through a few predictions for the next couple of years.

Cloud 100
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Join me at SaaStock EMEA for “How to Make a Marketing Machine”

Kellblog

Executives from companies including Algolia, AWS, Celigo, Contentful, Freshworks, Intercom, Yellowfin, Zephr, and Zoominfo. VCs from partnerships including Accel, Index, Point Nine, Seedcamp, Sequoia, and of course, Balderton.

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Scaling Early-Stage to Hyper-Growth Companies With Ed Lenta, SVP and GM of Databricks (Pod 644 + Video)

SaaStr

Ed Lenta, the SVP and GM of Databricks, had the rare opportunity of scaling three hypergrowth companies — VMware, AWS, and Databricks. Silicon Valley-based venture capital companies might tell you to build productivity models around hiring salespeople and scaling your organization that way, but it’s not the way.

Scale 189