Tag Archives: SaaS

The Leading Predictor of Series A Valuation for SaaS Companies

Tomas Tunguz is a venture capitalist at Redpoint Ventures.  In this article, Tunguz discusses why negative churn is the highest correlated factor to post-money series A valuations for SaaS companies.

The Leading Predictor of Series A Valuation for SaaS Companies

The highest correlated factor to post-money valuations for Series A SaaS companies isn’t revenue or revenue growth, but negative churn. Revenue growth correlates to post-money with a 0.18 R^2. Revenue correlates at 0.3 R^2. Negative churn, or account expansion, correlates at 0.54 R^2.

The Upside to the SaaS Downturn

Ajay Agarwal is a Managing Director of Bain Capital Ventures.  He leads the firm’s Bay Area office, focusing on early-stage application software and SaaS investments.

In this podcast, Agarwal discusses why the SaaS market is changing, and how companies can take advantage of underlying opportunities.

[Podcast] Ajay Agarwal on the Upside to the SaaS Downturn

There’s been a lot of panicked discussion lately in SaaS. The Venture Capital market has adjusted downward, and SaaS businesses everywhere are feeling the effects. But Ajay Agarwal says there’s no need to panic. He is the Managing Director for Bain Capital Ventures in the Bay Area, focusing on early-stage application software and SaaS investing.