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Raising Venture Capital in 2024? The Air is Very, Very Thin Above $200,000,000 Valuations

SaaStr

If I had to summarize venture capital today, it would be like this: There is Very Little Oxygen Today Above $200m Valuations What do I mean? It’s still a weird world in venture: Firms are both shutting down and raising new funds. More entrepreneurs are doing direct investing themselves than ever. But Series D? -41%.

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Dear SaaStr: What Did You Learn From Your Worst Venture Capital Investment?

SaaStr

Dear SaaStr: What Did You Learn From Your Worst Venture Capital Investment? They lack the integrity to really do what it takes to scale. A related post here: 10 of My Top Seed Investing Mistakes The post Dear SaaStr: What Did You Learn From Your Worst Venture Capital Investment? Make Stuff Up. Hides Anything.

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Why 2024 May Be Tougher on Venture Capital Than 2023

SaaStr

That will weigh across venture. falling image from here ) The post Why 2024 May Be Tougher on Venture Capital Than 2023 appeared first on SaaStr. The bottom line is there likely is at least another full year of working through the excesses of 2021. No matter what some AI headlines suggest.

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One Simple Rule On How Much To Pay Yourself Once You Raise Venture Capital

SaaStr

Q: How do Venture Capital Firms really feel about founder salaries? Let me add just one thought to the discussion on founder salaries, once you are venture-backed. If the founders are the highest compensated people in the start-up, at least pre-Scale (e.g., 10k a year. 10k a month. One thing I have learned, though.

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Do I Need To Raise Venture Capital At All? No. But It Takes Longer If You Don’t.

SaaStr

Q: Is venture capital really necessary to do a start-up? Atlassian never raised any primary capital and waited many years until raising money at all for secondary liquidity. Atlassian took years longer to get to scale. The post Do I Need To Raise Venture Capital At All? Maybe it isn’t. But here’s the thing.

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Do You Really Need Venture Capital To Build A Top SaaS Company?

SaaStr

Q: How many companies in the Fortune 500 raised venture capital? Why are so many people obsessed with venture capital when many successful businesses didn’t raise it? There are many successful companies that did not raise venture capital, and VC does seem to get a bit too much media attention. 7 out of 100.

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The New Normal: 700 Employees at $200,000,000 in ARR

SaaStr

Almost Everyone’s Gotten Radically More Efficient in SaaS That’s a good metric to think about at scale now. In part, because unicorn rounds have evaporated in SaaS (outside of some AI outliers), everyone just has to be cash-flow positive at scale. But what does it mean in practice, when you are well before the IPO stage?