Remove Business Model Remove Churn Rate Remove Security Remove Venture Capital
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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . Small investment firms often have interns and entrepreneurs in residence passing through, each of which is a security risk. When I was single, I registered for (a lot of) dating websites.

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Recurring Revenue is Magic

Seeing Both Sides

But many years later, I began to appreciate that one of our core flaws was our business model. But the downside to our business model was that we did not have hardly any recurring revenue. . Recurring revenue business models are not a little bit better than non-recurring models. million to $22.5

Revenue 54
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Cracking The Code: The Bessemer 10 laws of SaaS - Fall 2008.

Cracking the Code

You validated our business model and added huge value to our efforts. This is misleading because in a recurring revenue model, Customer A is much more valuable to the business (assuming typical churn rates) as they will likely generate $360,000 of revenue for the business with renewals over that same three year period.