SaaStr

FEBRUARY 27, 2024

Dear SaaStr: What Is The Best Indicators of Product Market Fit at an Early Stage SaaS B2B Startup? This is a rough metric, but I’d say from experience working closely with 25+ SaaS companies … if you aren’t growing > 10% a month after $10k in MRR or so … then you don’t yet have product-market fit. Not yet at least.

Product Marketing 269

Product Marketing B2B Startup Marketing 269

SaaStr

APRIL 10, 2023

However, what many businesses may overlook is the startup segment. Often, startups are lumped in with small businesses, yet this approach fails to recognize what motivates and attracts these early-stage companies. Why Seek Out Startups? How is it that you want to sell to startups differently than the rest of your customer base?”

Startup 205

Startup Scale SMB Venture Capital 205

Andreessen Horowitz

NOVEMBER 17, 2020

In fact, just as in tech companies, many sports franchises are trying to … The post Using NBA Metrics to Scout Superstar Startups appeared first on Andreessen Horowitz. And what would you look for in the numbers to spot the next Giannis?

Metrics 145

Metrics Startup Marketing 145

Tom Tunguz

MARCH 13, 2022

Thanks to the many readers who wrote in to Guess the Startup on Friday. I had three goals for the Guess the Startup Post. Try finding those metrics for Ethereum. growth rate in a year would be the envy of most seed stage startups. Here’s the early revenue chart again. Red Company is Ethereum.

Startup 252

Startup Scale Retention Enterprise 252

SaaStr

MAY 12, 2023

There are a lot of great learnings and metrics in the report, and a few stood out to me: #1. More at the full report here : The post SaaS Capital: Across 1,500 SaaS Startups, Yearly Contracts Don’t Actually Increase NRR appeared first on SaaStr. You can download it here.

Startup 318

Startup SaaS Retention Churn 318

Tom Tunguz

AUGUST 14, 2022

Most startups operate between 0.15-0.25. Top startups will record 200-300% NDR as PLG becomes a dominant go-to-market strategy. Third, Bill revealed his Mojo Metric , his north-star metric. The Mojo Metric reports the net change in pipeline daily. A land AE with a $300k OTE might have a $600k quota. We agree there!

Startup 282

Startup Construction Sales Compensation 282

TechEmpower SaaS

JULY 24, 2023

At TechEmpower, we frequently talk to startup founders, CEOs, product leaders, and other innovators about their next big tech initiative. What are your key Startup Metrics ? eCommerce Does your startup run on a subscription model? Analytics/Metrics What key startup metrics will you need to track?

Innovation 780

Innovation Development CTO Hire Technical Review 780

Andreessen Horowitz

FEBRUARY 10, 2020

0/ There is a dazzling amount of inconsistency in what GTM (go-to-market) metrics are presented at board meetings of early stage B2B (business to business) companies. Here is my hit list of the most important, and why: 1/ CARR – … The post 11 Key GTM Metrics for B2B Startups appeared first on Andreessen Horowitz.

B2B 131

B2B Metrics Startup Marketing 131

SaaStr

AUGUST 8, 2022

Dear SaaStr: How Long Does It Take the Average SaaS Startup to “Exit”? years (maybe the better metric): The fastest of the bunch was Divvy’s $2b+ acquisition by Bill 5 years after funding. More here : The post Dear SaaStr: How Long Does It Take the Average SaaS Startup to “Exit”? The answer?

Startup 272

Startup SaaS Acquisition B2B 272

Tom Tunguz

OCTOBER 26, 2020

I used to think of a startup as a series of funnels. Funnels simplify metrics. I’ve been preparing my session for the NY Enterprise Tech Meetup later this week on the Essential Guide to SaaS Metrics. There’s the customer conversion funnel, the recruiting funnel, the customer success funnel. Start to finish.

Startup 279

Startup Onboarding Metrics Enterprise 279

SaaStr

MARCH 24, 2021

5 tips for developing a sales process for your startup. Know what metrics you want to track. Design your sales process so you can report on key metrics. Sponsored blog post brought to you by Zendesk for Startups. Are you a startup looking to get started on your sales CRM or overall customer experience? Learn more.

Sales Hiring 292

Sales Hiring Startup Sales Forecasting 292

SaaStr

AUGUST 7, 2023

Learn about the most important SaaS metrics for founders in 2023 with the CEOs of the most metric-oriented company, monday.com, and the founder of SaaStr. For a quick recap on SaaS metrics: What is ARR in SaaS? So now we must be smarter about the most important SaaS metrics because they matter again. The takeaway?

Metrics 195

Metrics SaaS Sales Hiring Finance 195

Tom Tunguz

DECEMBER 11, 2022

Coupa’s sale continues a trend of private equity buying venture backed startups , a result of record PE fundraising & depressed multiples. Startups should expect more private equity M&A both in the public & private markets. Both of these data points imply public multiples have room to grow. Revenue, $m. Gross margin.

Acquisition 224

Acquisition Startup Software Pricing 224

Kellblog

MARCH 29, 2023

Just a quick post to share the slides from the presentation I gave today at the KiwiSaaS conference to discuss the SaaS metrics that matter in 2023 and 2024. The presentation has three sections: First, an introduction which quickly reviews the ways the startup world has changed in the past 6 months.

Metrics 123

Metrics Compensation Benchmarks Interviewing 123

Tom Tunguz

AUGUST 16, 2023

This is the moment startups with big balance sheets’ advantage will shine. Many startups will look to raise starting in September. The metrics for Series As remain unclear, which provides an opening for selective technology & team acquisitions at reasonable prices.

Startup 165

Startup Scale Strategy Forecasting 165

Tom Tunguz

JULY 8, 2019

When I shared the Redpoint SaaS Metrics Template, I wrote about the difficulty I had identifying key engineering metrics. I was grateful for all the responses from leaders at many startups to share their expertise. I’ve updated the template with a few metrics. Reliability - percent of application requests that load.

Metrics 180

Metrics Engineering SaaS Startup 180

Kellblog

MAY 24, 2022

I have to say it was a combination of luck and foresight that I started talking with Allan Wille and Lauren Thibodeau about capital efficiency as a potential topic for their Metric Stack podcast many months ago. Because now, as the episode is coming out , capital efficiency is the hot topic of the day.

Metrics 103

Metrics Venture Capital Benchmarks Finance 103

Tom Tunguz

NOVEMBER 15, 2016

A data-driven person, you search for a metric to evaluate the current customer service to validate the complaint and then track as you experiment with the restaurant’s operations. What metrics would you employ? These are fine metrics, but they share one common problem. The same idea holds for a startup.

Metrics 175

Metrics Startup Customer Lifetime Value Finance 175

Tom Tunguz

OCTOBER 2, 2021

Unlike equity-only startups, crypto startups maintain two capitalization tables. The first is the equity cap table, just the same as non-crypto startup. At IPO for a classic startup, equity allocation is the reverse. The second is the token cap table: who owns how many tokens. Insiders own 80%. Why this allocation?

Startup 225

Startup Trends Scaling Investment 225

SaaStr

SEPTEMBER 1, 2021

You see this time and time again in startups that are late to “top” their first set of VPs. Really, what you tend to see when you keep a stretch VP too long in their current role is flat metrics. But a VP whose metrics are flat for more than a quarter rarely if even finds a way to reaccelerate growth later.

Sales Recruiting 229

Sales Recruiting Scale Sales Hiring Metrics 229

Tom Tunguz

MAY 31, 2022

A broad software buyer index would be the best metric to understand how buyer preferences are changing across the market. That should bode well for SaaS startups. I’ll be tracking these public companys’ metrics as a software buyer health index. Fortunately, it exists.

Azure 183

Azure Software Startup Cloud 183

SaaStr

APRIL 2, 2021

Jamin Bell of Altimeter Capital has a great Substack looking a lot of SaaS and Cloud metrics. I thought I’d pull out one set of data and focus on what it means for startup valuations. The anchor growth rate for a SaaS startup remains, roughly, the Triple Triple Double Double. The post What’s Your SaaS Startup Worth?

Startup 259

Startup Revenue SaaS Cloud 259

Chart Mogul

MARCH 31, 2022

The best way to keep track of your growth is to monitor your SaaS metrics. Why Metrics Matter? The best way to keep track of your growth is to monitor your SaaS metrics. Why Metrics Matter? Metrics tell a story of how your business is performing. Here are the key SaaS metrics you need to monitor.

Metrics 52

Metrics Scale Startup SaaS 52

SaaStr

JANUARY 17, 2023

What is the right Go-To-Market strategy for a startup getting out of the gate? What’s his response to startups figuring out which strategy to begin with, product-led or sales-led? “It Buyers want KPIs and keywords typically quantified in pain, metrics, and value. Sign up here to join them FOR FREE! How do you achieve both?

Startup 222

Startup Sales Sales Funnel Education 222

SaaStr

JANUARY 2, 2024

David Sacks classic post on Burn Rate Multiple is A+ and a key metric for every venture-backed startup. It simplifies a lot of complexity into one metric. However, I’ve seen this metric now misused by many venture-backed startups as a magical health meter for a “good enough” burn rate.

Startup 276

Startup Metrics Revenue 276

Tom Tunguz

MARCH 19, 2020

Speaking with startups, I’ve collected a list of disciplines that are going to become very important in the next period. If a meaningful fraction of customers no longer pay the balance of their annual contract on the renewal date, then your startup’s cash flows will worsen. First, transparent communication.

Startup 200

Startup SaaS Payments Payment Services Payment Methods 200

Baremetrics

JUNE 30, 2021

You've got a brilliant SaaS startup idea. A startup financial model is the plan. In fact, we've already built the SaaS financial model you'll actually use — but let's take a look at why this is especially important for SaaS startups. 1 What Is a Startup Financial Model? What Is a Startup Financial Model?

Startup 98

Startup Sales Hiring Sales Recruiting Deferred Revenue 98

SaaStr

NOVEMBER 30, 2021

Over the last eight years as Y Combinator ’s Managing Director and Group Partner, I’ve advised thousands of startup founders on their businesses. Doing things that don’t scale can often feel counterintuitive to a founder, but it’s an essential part of making it as a small startup. Find the 90/10 solution.

Startup 204

Startup Scaling Banking Product Marketing 204

SaaStr

APRIL 5, 2023

In this week’s CRO Confidential episode, Blond talks to one of the best revenue operations leaders on the planet, Cherishma Shah, where she shares insights into the Rev Ops role, why your startup might need one, and how to maximize impact with this powerhouse position. Lay the groundwork for metrics that tell you what success looks like.

Sales Hiring 198

Sales Hiring Education Scale Strategy 198

SaaStr

MARCH 11, 2021

This is common at Bigger Companies — but is very confusing for startups. The post What Core Metric Should Your VP of Sales Be Responsible For? An ARR goal sounds good, but it can lead a VP of Sales to spend a lot of time on things other than closing. Where The Magic Is. And When to Hire One. note: an updated SaaStr Classic post).

Sales Hiring 262

Sales Hiring Metrics Sales Churn 262

SaaStr

OCTOBER 14, 2022

To keep tabs on your efficiency, be mindful of these helpful metrics: Burn Multiple. This metric reveals how long it takes to earn back your sales and marketing spending, which is highly relevant when factoring into efficiency. Measuring Efficiency in SaaS. Burn Multiple = Net Burn / Net New ARR.

Startup 204

Startup SaaS Metrics Churn 204

SaaStr

SEPTEMBER 24, 2020

Y Combinator CEO Michael Seibel is featured in one of our most-watched SaaStr videos of all time — so we were delighted to have him back during our SaaStr at Home event to share the top 5 things that kill startups after their seed rounds, and how to avoid them. No metrics dashboards. Have real KPI and real metrics.

Underperforming Technical Team 172

Underperforming Technical Team Startup Engineering Retention 172

SaaStr

MAY 14, 2022

Dear SaaStr: What do Most Startup Founders Get Wrong About Financial Projections? The post Dear SaaStr: What do Most Startup Founders Get Wrong About Financial Projections? The #1 thing I see with financial projections is they just don’t speak with data. Instead, they speak with dreams. The Power and Honesty in a L4M Model.

Startup 222

Startup Data Metrics 222

Andreessen Horowitz

FEBRUARY 21, 2020

This week, we published the a16z Marketplace 100 , a ranking of the largest and fastest-growing consumer-facing marketplace startups and private companies. Every company tracks … The post 13 Metrics for Marketplace Companies appeared first on Andreessen Horowitz.

Metrics 133

Metrics Startup 133

Tom Tunguz

APRIL 1, 2019

In 2014, I published a post called Do Startup Require Less Capital to Succeed than 10 Years Ago ? In the analysis, I created a metric, the return on invested capital (ROIC). Startups going public from 2006-2009 showed a median ROIC of 0.42. It’s been five years and time to see how things have changed. of revenue at IPO.

Startup 267

Startup Software Review SaaS Acquisition 267

SaaStr

JANUARY 10, 2020

Q: As a venture capitalist, what are some red flags that would make you reject a startup immediately? First, there is a lot of marginal behavior that doesn’t lead to an immediate rejection, but does lead to immediate skepticism: Metrics that don’t quite make sense. View original question on quora. appeared first on SaaStr.

Startup 290

Startup Investment Metrics Revenue 290

Baremetrics

MAY 18, 2021

The Baremetrics customer segmentation tool helps you divide your customers by any metric you choose. But what are the top customer segmentation metrics? All the data your startup needs Get deep insights into your company's MRR, churn and other vital metrics for your SaaS business. What are Customer Segmentation Metrics?

Metrics 99

Metrics Customer Lifetime Value Social Media Churn 99