Remove Down Round Remove Lean Remove Software Remove Valuation
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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

This is why investors really like SaaS software companies where you have recurring revenue and your largest customer accounts for < 5% of your revenue and your renewals rates are > 90%. Many software companies have > 80% gross margins which is why they are more valuable than say traditional retailers or consumer product companies.

Burn Rate 383
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Startup Funding – A Comprehensive Guide for Entrepreneurs

ReadWriteStart

Any custom manufactured IoT device would require software development as well as hardware customization. Bootstrapping inculcates the entrepreneurial discipline and financial responsibility to run a lean business. ? The bridge or exit stage is generally of very large transactions and for companies with substantial valuation.

Startup 150
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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

In addition to FOMO it is partly driven by massive increase in valuations for earlier-stage companies who raised money at bit seed prices but who still have product risk. million pre-money valuation is now raising $1 million at a $12 million valuation the next investor has nowhere to go but up (or sit out the investment).

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An Inside Scoop on the Funding Environment and What it Might Mean for You

Both Sides of the Table

Investors had grown too used to the idea that any deal you funded would get marked up to a higher valuation in the next round and that’s clearly not always true. Mutual funds had begun marking down the valuations of their private investments in high-profile deals. Fall turned to winter. 2015 turned to 2016. FOMO was NOMO.