Fresh Insights

Analyses, Musings & Observations

Board meeting best practices

We’ve been a part of many board meetings. Below are some of the best practices that should be adopted for a smooth and productive meeting. Voting matters should be socialized prior to the board meeting. Don’t surprise board members with a vote they haven’t had time to think through, especially if the matter goes beyond…
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Learnings from a SaaS IPO – Samsara

Samsara is a software company that just went public. Below are some of the highlights and learnings from their prospectus. What they do. Samsara “allows businesses that depend on physical operations to harness IoT data to develop actionable business insights and improve their operations. Using our Connected Operations Cloud, customers can visualize their physical operations…
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Learnings from a SaaS IPO – Hashicorp

Hashicorp is a software company that just went public. Below are some of the highlights and learnings from their prospectus. What they do. “Our cloud operating model provides consistent workflows and a standardized approach to automating the critical processes involved in delivering applications in the cloud: infrastructure provisioning, security, networking, and application deployment.” Always remote…
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Using automatic price escalators to drive NDR

  Maintaining net dollar retention over 100% is critical to the health of your SaaS business and getting a premium valuation.  One easy hack to improve NDR is to include automatic price escalators in your annual contracts with customers.  Our portfolio companies do this, and the automatic price increase upon renewal is anywhere from 5%…
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Acceptable levels of revenue to burn in SaaS

Most SaaS companies burn cash as they grow, but what is the acceptable level of burn? We looked at the last 71 SaaS IPOs to find out. The data is below and shows that on median, unprofitable SaaS companies have a revenue to burn ratio of 3.6:1. In other words, for every $1 of operating…
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The best VC in SaaS

Who are the most successful VC in SaaS? To answer that question, we looked at the past 71 SaaS IPOs (going back 3 years to MongoDB) and who their major investors were. The list is below and includes 46 major investors. The best. Not surprisingly, Accel, Sequoia, ICONIQ, Insight, and Tiger top the list. 3…
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SaaS CEO salary data

We’ve seen a wide range of CEO salaries in our portfolio, from as low as $35k annually to as much as $350k (with bonus). While there is no dataset explicitly outlining salary levels at early stage SaaS companies, we can use the salaries from tech companies at their IPO to get a sense for what…
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Learnings from a SaaS IPO – UserTesting

UserTesting is a software company that just went public. Below are some of the highlights and learnings from their prospectus. What they do. “We have pioneered a video-first, enterprise-grade software-as-a-service (SaaS) platform that enables organizations to see and hear the experiences of real people as they engage with products, designs, apps, processes, concepts, or brands.”…
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Learnings from a SaaS IPO – Braze

Braze is a software company that just went public. Below are some of the highlights and learnings from their prospectus. What they do. “Braze is a leading comprehensive customer engagement platform” and “empowers brands to listen to their customers better, understand them more deeply and act on that understanding in a way that is human…
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Learnings from a SaaS IPO – Weave

Weave is a software company that just went public. Below are some of the highlights and learnings from their prospectus. What they do. “We are a leading all-in-one customer communications and engagement software platform for small and medium-sized businesses. Our cloud-based software platform streamlines the day-to-day operations of running a small business. We offer an…
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