SaaStr

JULY 16, 2025

They engineer business models that deliver both. They achieved BOTH by: Maintaining 20%+ growth rates Improving operational efficiency Focusing on high-margin products The SaaStr Takeaway : The best SaaS companies don’t choose between growth and profitability.

Scale 267

Scale B2B Sales Hiring Acquisition 267

Tom Tunguz

JULY 1, 2025

Given its high growth & unique business model, how should the market value Figma? The model shows a modest correlation between revenue growth & valuation multiples (R² = 0.23). Figma’s defense is its expanding platform—with products like FigJam, Dev Mode, & now Slides, Sites, & Make.

Compensation 186

Compensation AI Retention Business Model 186

SaaStr

FEBRUARY 21, 2025

While Dreamforce is larger overall, SaaStr Annual is more specifically focused on the SaaS business model and community, rather than being tied to a specific vendor’s ecosystem.

Software 243

Software Scale Venture Capital SaaS 243

SaaStr

FEBRUARY 2, 2025

Companies need to: Ensure secure data handling Maintain clean data for model training Integrate effectively across multiple systems Enable real-time data access where needed Evolution of Business Models The integration of AI is driving changes in how vertical software companies approach pricing and business models: Pricing Strategies Traditional subscription-based (..)

AI 220

AI Technical Review Artificial Intelligence Systems Review 220

SaaStr

JUNE 22, 2025

Growth rates are normalizing, companies are focusing more on profitability, and the market is rewarding sustainable business models over growth-at-all-costs. The Bottom Line: SaaS is Maturing, and You Have to Adapt The 2025 data tells a clear story: The SaaS industry is maturing.

B2B 217

B2B Data Scale Startup 217

SaaStr

MARCH 1, 2025

He’s known for his systems-thinking approach to company building and has helped scale multiple businesses from zero to public company status. This specific threshold serves as a critical signal that your business model has legs.

Scale 184

Scale Systems Review Scaling Leadership 184

SaaStr

OCTOBER 23, 2024

From day one, they considered having a viable business model, so they didn’t wait to build it. When René’s dad had a payroll company, the rule of thumb was always one year’s worth of revenue, four quarters, because a customer lasted a year. Bill does six quarters because customers stay on the platform for more than a year.

SMB 307

SMB Payment Services Payments Payment Methods 307

Tom Tunguz

FEBRUARY 26, 2025

The traditional SaaS business model of annual prepaid contracts based on seats faces challenges when a human is no longer operating the software. 3x as productive as humans, software pricing will need to evolve.

SaaS Payments 279

SaaS Payments Pricing Strategy Scale 279

SaaStr

JUNE 11, 2025

When rates were 0% in 2020-2021, this model generated minimal revenue. This creates extreme business model volatility that no SaaS founder would accept. The Great IPO Awakening: What 2025’s Surprisingly Hot Market Means for B2B Companies The B2B / SaaS Takeaway : Variable revenue models can be dangerous.

compliance 249

compliance Marketplace as a Service B2B Healthcare 249

SaaStr

FEBRUARY 26, 2025

It’s a business model, an organizational framework, and ultimately, a path to building a more efficient, customer-centric company. It’s better to do a few things extraordinarily well than to do everything mediocrely.

Enterprise readiness 146

Enterprise readiness Enterprise compliance Acquisition 146

SaaStr

OCTOBER 30, 2024

That’s a reality, but it forces you to focus on business models where you always win. And that means that 99 percent of startups can’t even raise venture capital. Bootstrapping takes longer on average. 11 If you are offered a second check, how picky should you be?

Venture Capital 312

Venture Capital Software Review Investment Startup 312

SaaStr

JUNE 22, 2025

AI-adjacent businesses like CoreWeave have benefited from sustained investor enthusiasm, while sector-specific leaders like Hinge Health prove that domain expertise and strong unit economics can overcome broader market headwinds. The company also faces fundamental business model questions.

B2B 187

B2B Payments SaaS Payments Payment Services 187

SaaStr

FEBRUARY 10, 2025

25x’d Revenue and Crossed $100M ARR Apollo.io, an all-in-one go-to-market platform, underwent a significant transformation in its business model that led to remarkable growth. From Sales-Led to Product-Led: How Apollo.io

Scale 161

Scale Scaling Outsourced Development Sales 161

SaaStr

MAY 28, 2025

Their ability to maintain growth while improving profitability shows they’re not just growing at all costs but building a sustainable business model. This successful transition suggests strong leadership, disciplined operational execution, and a fundamentally sound business model with significant pricing power.

Scale 197

Scale SMB Acquisition Enterprise 197

USIO

JULY 22, 2025

A quick note on terminology: when we talk about users in your SaaS, it can mean two things depending on your business model: If you’re a direct-to-consumer or B2C SaaS , users are the individuals or companies paying you. Will you need to handle invoicing and collections digitally?

Payments 130

Payments SaaS Payments Payment Services Payment Methods 130

SaaStr

JUNE 28, 2025

revenue multiple Top performers : 12-15x for high-growth, profitable companies IPO premium : Quality companies commanding 20-30% premium to trading comps The Profitability Imperative Unlike 2021’s “growth at any cost,” 2025 IPOs show: 59% of Q1 2025 IPOs were profitable at listing (vs.

Payments 184

Payments SaaS Payments Payment Services B2B 184

SaaStr

JUNE 21, 2025

The market is getting smarter about AI washing vs. real AI business models. Every major SaaS company needs domain expertise in regulated industries. AI Revenue Separation Companies will be forced to break out AI revenue separately. The Great SaaS Shakeout 50% of public SaaS companies will either get acquired or go private.

B2B 264

B2B Government Healthcare compliance 264

Payrix

DECEMBER 18, 2024

Software companies are increasingly integrating payments as a core component of their business models rather than treating them as ancillary features. This evolution has shifted the conversation from basic implementation to strategic optimization. And so, we got to start to have some of those kind of conversations and more detail.

Payments 130

Payments Embedded Payments Merchant Services Payment Services 130

SaaStr

JULY 23, 2025

Examples : Marketing agencies building client-specific dashboard tools Consultants creating assessment and reporting platforms Training companies developing custom learning management systems Financial advisors building client portfolio tracking applications Business Model Evolution : Service businesses can add recurring software revenue streams without (..)

Software Review 193

Software Review Technical Review Development Team Review Systems Review 193

Clouded Judgement

JUNE 6, 2025

This “misuse of ARR” trend has accelerated in the age of AI, as business models have evolved (into more usage/success-based vs. seat-based), and everyone is tinkering with new AI products. However, many companies misuse ARR and count forms of non-recurring revenue as ARR, confusing the metric. ” Pilots.

Cloud 144

Cloud Technical Review Software Review Technical Advisors 144

The SaaS CFO

JUNE 24, 2025

Not too easy with today’s pricing and business models. The shift in pricing models (usage, consumption, outcome-based) has made the lives of tech CFO’s more difficult. […] The post How to Define and Calculate ARR appeared first on The SaaS CFO.

Finance 65

Finance Business Model Pricing SaaS 65

SaaStr

JUNE 9, 2025

Enterprise finance teams are willing to pay for solutions that consolidate multiple systems and improve reporting accuracy.

B2B 184

B2B Marketing Scale Benchmarks 184

USIO

JUNE 12, 2025

It’s just one example of how we help bring ambitious business models to life. From real-time card authorization to fund verification, it’s a behind-the-scenes engine that lets MoviePass offer a nationwide service without building individual integrations with every venue.

Payments 130

Payments Embedded Payments Payment Methods Payment Solutions 130

SaaStr

JULY 11, 2025

forward revenue multiple compared to OpenAI’s 31x multiple, suggesting investors believe Anthropic’s business model has superior long-term potential despite the smaller current scale. Valuation Multiples Signal Investor Confidence Anthropic trades at a 43.9x valuation / $1.4B

ChatGPT 226

ChatGPT Artificial Intelligence Outsourced Development AI 226

Subscription Flow

OCTOBER 10, 2024

Growing businesses need to integrate with external systems such as CRM or accounting systems, to avoid data silos. The current billing system does not allow you to switch business models. Having all your data in one place is essential to track your operations.

Payment Solutions 105

Payment Solutions Payment Services Systems Review SaaS Payments 105

USIO

JUNE 19, 2025

Final Thoughts Adding embedded payments to your SaaS platform isn’t just about convenience—it’s about creating a new business model. Build with monetization in mind : Make payments a core part of your UX and value proposition—not just a utility. You’re transforming from a software vendor into a payments-enabled ecosystem.

Payments 130

Payments SaaS Payments Payment Services Payment Solutions 130

Stax

JUNE 18, 2025

For example, small businesses in healthcare, food service, financial services, or construction often struggle to keep up with changing regulations, distinctive business models, and complex sales processes. Q: Why is Vertical SaaS considered a profitable business model?

Merchant Services 167

Merchant Services SaaS Payments Payment Services Payments 167

SaaStr

OCTOBER 11, 2024

Historically, the business model has been to sell radio ads, and the people running the ads are typically local businesses. The problem is that when a BDR called these businesses, the person on the other end didn’t have the budget or know-how to create an effective ad.

Cloud 167

Cloud AI Artificial Intelligence Healthcare 167

Chart Mogul

DECEMBER 12, 2024

Code generators will be less deflationary than open source, and recurring revenue pricing will continue to be the greatest business model in the history of capitalism. AI will complement, not replace traditional SaaS platforms.

Fractional VPE 40

Fractional VPE Software Review SaaS Part-Time VPE 40

SaaStr

MARCH 18, 2025

The bar has risen significantly from the “growth at all costs” mindset of 2021-2022. Final Thoughts The AI space is well-funded but still maturing.

Technical Review 187

Technical Review Artificial Intelligence AI Marketplace as a Service 187