annual recurring revenue

“So the rule of thumb just as a, for your listeners in my book is if you can build a 75 to hundred and twenty-five million dollar ARR company, you can be a billion dollar business. If you built it with healthy margins, which in most software-oriented stuff you …”

“I mean, I think you know, it still will take, you know, seven, eight, nine, 10 years to get to a hundred million net revenue, but you can get there, right? And we are now seeing companies actually prove that you can go from zero to one million ARR in less tha…”

“Only once you've crossed a million ARR, like, that's when you really know that you're on to something, right? And I think the speed at which a company crosses that million dollar line from zero to one that also gives us an indication of, like, how solid is thi…”

“I definitely think that for most of the companies like Postman for us, ARR is a lagging indicator. Like we, among all the metrics that drives the company, I will definitely say that in, in most cases, it's not the ARR, which is the main goal.”

“Until then the revenue was small but in 20, 20, it immediately jumped to almost it started going towards, and then now we are more in double digit ARR.”

“When companies are between say a couple of million dollars, two, three, four million dollars of ARR, you know, their average account sizes would be anywhere about 50,060 thousand dollars. But as they grow, start growing beyond that, then we see the hundred K d…”

“So I think after that, it took one and a half year for us to reach to a million, and then after that, yeah, the story was completely different.”

“You need to be able to solve a problem, simple problem repeatedly. That is how you get annual recurring revenue. This is the only way to do it.”

“I don't think except for subscription based businesses, most companies should talk about ARR. It means something else and people just use it everywhere.”

“At what point in Wengifire currently Wengifire ARR would be twenty-five million dollars, right? Yeah, in that range.”

“We are way beyond that.”

“So today we are about two million in ARR, and most of that growth has come in the last two years after we have done this B to B pivot.”

“December, 2024.”

“Mid 2016 is when we raised our city. That's when we were getting close to like 700 K or so in ARR.”

“At the later stages, the metric actually I worry about the most is net new ARR added divided by the net burn in a quarter. And if that ratio is more than one, you're healthy. If that ratio is less than one, you're not so healthy.”

“Aur ye ARR sab kuch is just bakwaas, like, people don't value you on your annual run rate. There is a buying cycle for the consumer for food, like for juices, it's April, May, June, when it's summer. You have to take annual, I mean, the full years, last year's…”

“A lot of Indian companies are, have started to reach A million to million type of ARRs, but have not a lot of companies beyond a few that you can count on your hands are beyond the 30, forty million ARR today.”

“And today that company does over a hundred million dollars of ARR. It's growing like over two X every year. It's profitable.”

“We crossing one million probably in 15, if not 16, one of those, and I think 10 happened it took us, I think, five years before the 10 happened, I think, four to five years.”

“Among the companies which are venture-backed, Minimum three million dollars. Only 1.6% companies reach a hundred million ARR.”

“I think more than revenue, what I would more index on is product shape and product usage, because your revenue is your lagging metric. Sometimes you can have a lot of revenue, right? But maybe you might, you know, just cap out at like five or six mil right ove…”

“The probability of listing in India at 30, forty million ARR is very high.”

“It's between one to two million ARR.”

“Today with AI, we are seeing companies. It's not impossible to see a company that gets to a hundred million ARR in two years with less than 50 people, right?”

“These days that this persona of the company you're talking about that get to a hundred million ARR real quick, it's not necessarily the same stickiness of revenue and time will tell.”

“And then we ended that year at about 2.2 million... 2021. 2021. So zero to 2.3 million in the first year.”

“Gosh, like half a million to like two million is like, let's say the range, but like everything, there's exceptions to that.”

“That's the conventional wisdom, right, is, You get to a million ARR, you raise a series A, whatever the amount is, you hire a sales leader, you hire, spend money in marketing, and growth will come. But, you know, it doesn't because you have to do a lot of work…”