article thumbnail

Dear SaaStr: What are The Top Challenges of Venture Capital Firms?

SaaStr

Dear SaaStr: What are The Top Challenges of Venture Capital Firms? While Sequoia, Benchmark, Founders Fund, etc. Not Just Billion Dollar StartUps. The post Dear SaaStr: What are The Top Challenges of Venture Capital Firms? Generally there are three major challenges. The first one is non-obvious.

article thumbnail

The Top LPs Made 95% Or Higher Returns on Venture and Private Equity in 2021

SaaStr

So 2021 was a crazy year for venture capital, topping 1,000 unicorns and an IPO-a-day. Very well for top Limited Partners (“LPs”), the folks that invest in VC funds, and give them the capital to invest in startups. The benchmark returns from VC + PE returns was a stunning 62% for 2022.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Talking Burn: Appearance on the Metric Stack Podcast on Cash Conversion Score and Related Metrics

Kellblog

Here are some of the things we discussed on the podcast : If you think of startups are organisms that convert venture capital (VC) into ARR, then we need some metric for how efficiently they do that. Using my formula (= 1/CCS) for aggregate burn, here are some benchmarks. < < 1 is amazing (i.e., 1-2 is good (i.e.,

Metrics 103
article thumbnail

When a VC Investment Fails, Does That Mean It Was a Bad Investment? Probably Not

SaaStr

With venture capital investments that fail, is the problem most often with the entrepreneur or was it a bad investment by the VC? Bill Gurley’s answer to How much money did Benchmark capital lose on Webvan? There often is no problem. The earlier stage you invest, the more often some of them just … don’t work out.

article thumbnail

The Startup Funding & Financing Guide

Baremetrics

There are more funding and financing options for startups today than there ever have been before. There’s also been an explosion in debate and transparency about navigating startup funding and financing. Let’s explore the funding and financing options for your startup. Funding Your Startup. Buffer spent $3.3

Finance 111
article thumbnail

B2B SaaS Metrics 2020 Benchmark Report: A Discussion with Ray Rike and The SaaS CFO

Kellblog

In this fast-paced episode we move through topical discussions of the major SaaS metrics followed by investors and operators alike, and look at the size-segmented benchmarks presented in Ray’s 2020 B2B SaaS Metrics report.

article thumbnail

The Rising Stakes in SaaS

Tom Tunguz

This sea of SaaS startups have reshaped the market. I believe competition is a major driving force, especially since venture capital is conspicuously copious. But it’s not the MRR milestones or the payback period benchmarks that have changed. Today, that figure is 5000. The chart above shows them by buyer.

SaaS 187