valuation

“What matters is that you grow up, you get out there, and I think for any kind of fundraising, it's ultimately not about the valuation. It's really about the team and the path you set yourself up for after that.”

“Ah, valuation is correlated to revenue growth, but in all other times, whether it be flat or bare markets, it's actually efficient businesses that are unfairly rewarded for their efficiency levels, and so we believe it's best to solve for an efficient business…”

“Companies who are growing at over 60% as they hit a hundred million in ARR are valued five times more than companies that are growing just a little less than that. Say at 20 to 60% as they hit a hundred million ARR.”

“I think it's going to take two, three, four quarters. For those companies that raised in early or mid 20, 21 to need to come back and there will come a time where they need capital and the pendulum will swing from, you know, purely power on the part of founder…”

“But the interesting aspect actually is, when looking at this chart, as valuations actually have just gotten back to the levels they were in, in 2020.”

“It's going to create more appetite for VCs to do deals, but only at the margin will it increase valuations. Only at the margin. Only where there's like hysteria to invest, like certain AI deals. But other than that, unless there's massive competition, valuatio…”

“In fact, valuations at Series A ticket sizes have increased 42% in the last two years.”

“They expect their valuations to be the same as in 2023 and the same as in 2022.”

“Also, if you think about payback period, if you look at top quartile SaaS companies versus bottom quartile, top quartile have three X shorter payback period than the bottom quartile and seven X higher valuation.”