Aug 1, 2023 · 25m · top-founders
Coro Breaks $25m ARR, Hits $600m Valuation Growing 300% YoY in CyberSecurity for Mid Market Space
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gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions
In this interview, host Nathan Latka speaks with Coro co-founder Dror Liwer about scaling an all-in-one mid-market cybersecurity platform past $18 million in ARR and raising $75 million at a $600 million valuation. Liwer breaks down Coro's triple-digit annual growth, three-pronged go-to-market strategy, channel partner economics, and efficient SaaS metrics.
How this conversation actually went
Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 32% of the talking time here. How this is scored →
Nathan as informed peer 6.5 Guest teaching 2.9 Guest disagreement 1.4 Nathan pushing back 4.1
speaking balance: gold is Nathan, purple is the guest (3 minute bins)
Sharpest disagreement ▶ 17:50 Dror defends aggressive valuation multiple
Dror rejects Nathan's skepticism regarding multiple compression, insisting the multiple remains stellar in a down market and is justified by operational execution.
Hardest push from Nathan ▶ 12:44 Nathan challenges impossible portfolio revenue mathNathan directly halts the discussion to point out that multiplying 13,500 customers by $9,500 yields $128M ARR, refusing to accept the number as a blended average.
Biggest teaching moment ▶ 12:58 Dror clarifies rolling cohort vs portfolio ACVDror educates Nathan on how SaaS metric tracking distinguishes rolling averages of incoming cohorts from blended historical customer averages.
Nathan holds their own ▶ 17:41 Nathan calculates multiple compression to 25xNathan counters Dror's optimism by calculating on the fly that Coro's revenue multiple compressed from 41x to roughly 25x in the new round.
the scores for every segment, with the reasoning behind each
| Chapter | Topic | Nathan as informed peer | Guest teaching | Guest disagreement | Nathan pushing back | Why |
|---|---|---|---|---|---|---|
| Mid-Market Cybersecurity Demand and Growth Drivers | 6 | 3 | 1 | 2 | Nathan verifies past ARR milestones and calculates the implied revenue target for 300% growth. Dror explains mid-market cybersecurity vulnerabilities using an automated burglar metaphor. | |
| Tripling Customer Count Across Three Go-to-Market Channels | 5 | 2 | 1 | 3 | Nathan presses Dror on customer acquisition breakdown, asking for specific partner names and sales rep headcount allocations. Dror clarifies the direct outbound team size and introduces technology partnerships like ComplyAuto. | |
| Channel Partner Economics and Automated Stack Efficiency | 7 | 4 | 2 | 6 | Nathan challenges Dror on whether discounted channel pricing risks cannibalizing Coro's direct sales. Dror explains why channel leverage and automated stack efficiencies make channel partner margins advantageous. | |
| Price Increases, Customer Seat Expansion, and ACV Dynamics | 8 | 5 | 2 | 7 | Nathan catches a mathematical conflict between total customer count and a $9,500 ACV, pointing out that it would equal $128M in revenue. Dror clarifies that the $9,500 figure represents the rolling average of newly signed accounts rather than the blended historical base. | |
| 2023 Revenue Trajectory and $75M Series C-2 Fundraising | 7 | 3 | 1 | 4 | Nathan calculates quarterly ARR targets required to achieve 300% growth and inquires about board pressure. Dror reveals an unannounced $75M Series C-2 fundraise at a higher valuation. | |
| Valuation Multiples, Operational Consistency, and Historical Background | 8 | 3 | 3 | 7 | Nathan points out multiple compression from 41x to roughly 25x ARR and asks if raising at aggressive multiples creates risk. Dror defends the valuation based on Coro hitting 12 consecutive quarters of execution targets. | |
| Capital Deployment, Retention Metrics, CAC Payback, and LTV | 7 | 2 | 0 | 2 | Nathan tests unit economics, comparing CAC payback periods, net retention figures, and projected LTV. Dror confirms 106% net dollar retention and multi-year cohort longevity. | |
| Headcount Expansion and Chicago Sales Hub Growth | 4 | 1 | 1 | 2 | Nathan conducts the Famous Five lightning round, lightly poking fun at Dror's four-hour sleep schedule. Dror shares details about the Chicago office expansion and personal background. |
Statements from this episode (21)
Coro achieved 300% YoY revenue growth for four consecutive years
“Our growth, which has been 300% year over year for the past four years straight with this year expected to be yet another 300% growth.”
Coro expects to surpass a $40M run rate by December 2023
“Yeah, so our expectation is to beat that number.”
Coro employs about 80 direct outbound sales reps
“Maybe I'm exaggerating a little bit. It's more like 80 because we I'm mixing up some of the direct with the with the channel.”
ComplyAuto co-brands Coro's cybersecurity software for automotive compliance
“So an example is a company called ComplyAuto. They provide compliance software to the automotive industry. So now they also offer security compliance, and that's really us. We are the underlying issue. It's not white-labeled. It's co-branded, call it.”
Liwer: Coro embraces partner discounting to leverage sales multipliers
“We're not in the we're not competing with our partners in any way. We actually prefer that our partners win because from our perspective, you know, there is a much, a very strong sales multiplier when you're using partners.”
Coro's AI removes over 95% of human security stack management
“We've removed more than 95% of the human element through AI, through automation”
Coro raised its per-user pricing from $6 to $8.99
“So last time we spoke, our prices were at about, I think they were about six dollars per user. Now they're at about eight 99 per user.”
Coro's average new customer size grew from 150 to 700 seats
“So now we're seeing Customers that are more in the 700 seat range. Whereas when we last spoke, the range was more about a 152 hundred maybe.”
Coro has seven-figure partner accounts but no million-dollar direct customers
“Well, if you look at our partners like MSPs or master agents, then they would be considered seven digits because they come with a bunch of seats. You know, they come with, you know, three, 4000 seats, 10,000 seats sometimes. So those are big accounts, but as a…”
Coro beat its Q1 2023 revenue target by about 8%
“So in Q one we beat our number by about eight percent, which was a great thing.”
Coro raised its Series C-2 round at a 20% higher valuation
“The last valuation was about 20% higher than a year ago that you knew about the eighty million.”
Liwer: Coro hit quarterly commitments for 12 consecutive quarters
“You're looking at the potential, the growth moving forward, and being that we were able to hit our quarterly commitments for 48 48 months.
[1131] Dror Liwer: For 12, I'm sorry, for 12 quarters, 48 months I meant for 12 quarters straight it gives a lot of confi…”
Coro has grown to nearly 300 full-time employees
“Just under 300. I think we're 290 something. So we're about to hit the 300 number.”
Coro is actively seeking strategic acquisitions to expand its product portfolio
“We're definitely looking into potential acquisitions to increase our portfolio through acquisition. So both organic and inorganic.”
Coro maintains a customer acquisition cost payback period of eight months
“So normally our cost of acquisition is about eight months. Which is in line with what the SaaS industry is is all about.”
Coro's 2019 customer cohort remains fully active after four years
“Our lifetime value though is a lot more than that because normally so, so the cohort that signed up with us in 20 19 is still with us today. So so far we're running a four year a four year lifespan and hopefully it's going to be even longer.”