Tons of metrics can be calculated for any SaaS business. In order to determine how your start-up is performing in a business environment, it's essential to calculate the SaaS Magic Number and various other sales efficiency metrics. Although the metric is overlooked in the SaaS startup community, it’s no…
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Anton Fedorov
If VC would've been a sport - it would've been Baseball
It's a pretty popular fact that greatest baseball players hit the ball every 1/3. The green line below show this as fairly consistent across the top-50 hitters historically (the 50th having 2839 hits, so it's quite reprentfull).While the greatest hitters do an average 15-20% a better job than…
What does the Rule of 40 tell about a SaaS company?
The Rule of 40 emerged a few years back at a time when many SaaS companies started to go public. Unlike traditional public on-premise incumbents, SaaS companies do not repay instantly the customer acquisition costs (CAC) and require at least 6-12 months of payback period to recoup it. Capital markets…
MRR (monthly recurring revenue): the ultimate guide for SaaS
After writing this post, I found out that it has gotten a bit out of proportion, so below is a short table of contents:Sections:IntroMetric vs Reporting (GAAP, IFRS)Definition: what is MRR (monthly recurring revenue)?Tracking MRR and why its important?How to calculate MRR and its growth…
Lyft IPO valuation: a US$20bn rideshare
Every IPO has a story, especially in the consumer technology sector. This one is a tale about bad and good, black and pink, uber vs lyft. Unlike many other markets, the ride-sharing market due to original huge fragmentation and regulation was significantly underlooked. Since 2010 when Uber and then Lyft,…
Long live the Content - long live the King
At the foundation of any organization there are a few elements that repeating over and over regardless of the industry. Team or who does what? Process or how they do it? Content or What they do? Vision or why they do it? (other than to make a buck) With more…