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The 6 Most Common Mistakes Founders Make When They Are Just Starting to Scale Revenue

SaaStr

Dear SaaStr: What are The Most Common Mistakes Founders Make When They Are Just Starting to Scale Revenue? It’s one thing to invest in an area where only 5% of your business is today. Bad operational model / misunderstanding the burn rate. Often, you can sort of intuit the business model up to $1m or $2m or so in ARR.

Scaling 271
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The Evolution of Open Source Business Models

Tom Tunguz

Companies a transition from one pricing model to another : Open source marketing strategy achieves penetration early on. At scale, startups pivot to maximization to extract the most dollars from their customers. Revenue is concentrated in the top accounts & future growth lies in those enterprises, too.

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5 Interesting Learnings from Shopify at $6.8 Billion in Revenues

SaaStr

That’s not just pretty epic growth at almost $7 Billion in revenue, it’s one heck of a comeback. But a Smaller and Smaller Percentage of Revenue. From a business model perspective, Shopify has in essence been a fintech and merchant product first and a SaaS product second for quite some time.

Payments 240
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How to Scale Go-to-Market Through IPO with ICONIQ Growth’s General Partners

SaaStr

General Partner Doug Pepper and General Partner and Head of Analytics at ICONIQ Growth, Christine Edmonds, share the art and science of scaling GTM at this year’s SaaStr Annual. This is the stage where best-in-class companies can double or triple revenue in the first few years of growth. What does that mean?

Scale 233
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Clouded Judgement 3.22.24 - ERR vs ARR and the Conundrum of AI Revenue Streams Today

Clouded Judgement

Subscribe now ARR (Annual Recurring Revenue) vs ERR (Experimental Runrate Revenue) ARR (Annual Recurring Revenue) is one of the most popular SaaS (Non-GAAP) metrics. In it's truest form, ARR is used by pure SaaS business models to describe the aggregate annual value of the entire customer set.

AI 183
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Unique Ways to Use the B2B SaaS Business Model to Leverage Your Business’s Revenue Growth

Subscription Flow

A major issue that arises, especially in the B2B SaaS business model, is how to break into the upmarket market as startups develop into scaleups that are primarily focused on increasing their market capitalization. Unique Ways to Use the B2B SaaS Business Model to Leverage Your Business’s Revenue Growth 1.

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Freemium is Back! But You’ll Need 50 Million Active Users for Freemium to Actually Work as a Business Model.

SaaStr

no human involvement ever) exceed 40% of our revenue, and as we passed the first $10,000,000 in ARR revenue, it declined a bit and never exceeded a third of our direct revenue, measured all on its own. Today it’s a token amount of revenue for the product at nine figures in ARR. Another great example is Box.