I regularly track SaaS valuations as a part of my consulting business. Tracking the valuations of public SaaS companies is easy, privately held SaaS companies are a bit more challenging, but not impossible. Year to date, the median public SaaS company valuation is up about 18.5%, while the overall Nasdaq is up 36.7%. In the past month, public SaaS company valuations have improved 9.4% versus 9.1% for the Nasdaq and 6.1% for the NYSE. Private company valuations have followed the same trends. The median EnterpriseValue/Revenue (ttm) multiple for public SaaS companies was 5.8x down from 16.4x in February 2021
Seed Stage VC Fundraising Q3 2023
The early stage VC funding market has experienced a significant decline since the market peak in February 2021. While most of my clients have viable products and market opportunities, fundraising has become a significant challenge.
SaaS M&A and Valuation Trends 1H2023
I regularly M&A and valuation trends in the SaaS industry. One of my go-to resources is the Software Equity Group’s free research. Their recent report 2Q23 Quarterly SaaS Report shows […]
PreSeed Fundraising Trends Q3 2023
I consult with a lot of early-stage SaaS startups. Many are trying to raise a PreSeed round of VC funding, and most are struggling. VC fundraising has declined by over 50% since the heydays of 2021, and while preseed and seed stage deals have been hit just as hard as Series A, B, C & D. Some recent data from CBInsights, Pitchbook, and DocSend provide great qualitative and quantitative insights into what has changed in 2023.
Should Your SaaS Startup Have a ‘Plan B’ Exit Strategy?
It is every startup’s dream to go public. An IPO is the pot of gold at the end of the startup rainbow. The unfortunate reality is that according to recent research by PitchBook of a cohort of 12,574 VC-backed firms from 2018, only 4.7% achieved an IPO. Perhaps it is time for management teams to seriously consider having a ‘Plan B’ if their trajectory to an IPO looks shaky.
16 Best Product Management Memes for February 2023
I belong to a Facebook Group called Product Management Memes. It has over 6,526 members and is simply a meme stash for product managers, marketers, and corporate life. People post amusing stuff every day. There’s no self-promotion or spam, just entertainment. Here are 16 of the most popular posts from February 2023 based on likes and shares.
Software Equity Group 2023 Annual SaaS Report
The Software Equity Group (SEG) regularly publishes quantitative research on the software and SaaS market M&A activity. The SEG SaaS Index contains dozens of publicly traded SaaS companies. They recently published their SEG 2023 Annual SaaS Report. It provides a ton of data on SaaS valuations and financial operating metrics. The impact of the market downturn can be clearly seen across all categories of SaaS.
The 22 Best Product Management Memes of November 2022
I belong to a Facebook Group called Product Management Memes. It has over 6,232 members and is simply a meme stash for product managers, marketers, and corporate life. People post amusing stuff every day. There’s no self-promotion or spam, just entertainment. Here are 22 of the most popular posts from November 2022 based on likes and comments.
The 24 Best Product Management Memes of September 2022
I belong to a Facebook Group called Product Management Memes. It has over 6,069 members and is simply a meme stash for product managers, marketers, and corporate life. People post amusing stuff every day. There’s no self-promotion or spam, just entertainment. Here are 24 of the most popular posts from October 2022 based on likes and comments.
Musk’s Takeover of Twitter Reminds Me of PE Tech M&A in 2003, With Some Important Twists
Elon Musk’s $44 Billion takeover of Twitter will be another radical shift for the software industry. In many way what has transpired in the past week reminds me of Private Equity Tech M&A in the early 2000s. There are some very important differences however. Will the X super app be the long term savior of Twitter and another huge notch in Elon’s belt?