Don’t Be a Vanity SaaS. Be a Value SaaS business.
When it comes time for part of the trip with your business, you can try selling it to someone else. One of the first questions I can think of is “how much does my SaaS cost?” You can contact public multiples of SaaS revenue. However, businesses with billions of dollars with thousands of employees do not serve as particularly good indicators for small SaaS enterprises with potential deployment. So how do you value your SaaS business for less than $ 1,000,000 in ARR?
SaaS is a unique and evolving industry that requires special attention when the time to sell. As a senior SaaS Sales Advisor, FE International answers daily SaaS best practice questions and which SaaS metrics should be measured.
How to value SaaS is perhaps one of the hottest and ambiguous discussions among small business owners, investors and advisors. As part of this series we will be talking to experts in SaaS businesses who are leading this change.
Value SaaS Series specialise in businesses extant in their path to 1st million. They bootstrap or raise tiny external investments. During this period, they iterate rapidly to create a growth engine for scaling to $10Mn and beyond. By accessing & deploying founder-ownership friendly capital, they grow chop-chop and thrive.
Veeva, Zoho, MailChimp, Atlassian, BrowserStack, even SalesForce, are all Value SaaS startups – they made more than $1 Mn ARR with less than $1Mn in spend.