Benchmark data: SaaS startups should be in top 10 % to raise multiple rounds of venture capital

ChartMogul has prepared their 2nd SaaS Benchmark Report and it is a good, detailed read based on data from 2,100+ companies. There’s a preview on Twitter by Nick Franklin, and the full report requires registration to be downloaded.

One takeaway is that for a SaaS startup to successfully raise multiple rounds of venture capital it should have best-in-class in ARR growth rate and best-in-class retention.

Even if a startup is top quartile, it will have to think hard about if other forms of financing (bootstrapping, growth equity, private equity, becoming profitable or debt funding) are better or more likely options than venture capital, and adapt the plan accordingly.

Author: Henrik Torstensson

Partner at Alliance VC. Investing in Nordic early-stage tech startups.

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