New 2024 Benchmarks for SaaS Bootstrappers! 📊 SaaS Capital just published their latest benchmarking report, and it's packed with useful insights. They surveyed 1,500+ private SaaS companies, focusing on SaaS KPIs and cost items as % of revenue. The table below shows the results for bootstrapped SaaS companies between $3-20M ARR. Please note that hitting $10M+ ARR requires rock-solid KPIs. If you're sub $3m and don't quite hit the median, don't worry - patterns vary. For smaller companies, the picture certainly looks different. Anything you find surprising? #saas #startups #founders #bootstrap #kpi #growth #benchmarks
Hi Dirk Sahlmer, great insights. However, how does spending 177% of revenue work when you are bootstrapped?
Dirk Sahlmer I agree that " hitting $10M+ ARR requires rock-solid KPIs." but at the same time if you don't have a product market fit this challenge increases by 10-fold
Great research but a bit skewed due to the respondents (SaaS Capital's core clientele) are seeking debt, which usually is the case when they can't/won't get equity, a lot of times due to lower growth. I have seen this with other debt provider research as well that the benchmarks were a little lower than the actual market.
It's interesting to see how the percentages for the 25th percentile are very low, and the ones for the 90th percentile are very high. I am struggling to make sense of it, but my first thought is that it's a bias in reporting, as bigger companies have better financial tracking processes?
thanks for sharing Dirk Sahlmer! I am just curious about the bottom line showing (total expenses / revenue), ranging from 95% up to 177.4%! That would mean very very few of these 1.500 companies are profitable. Rare case considering they are all bootstrapped. Isn't it?
ACV of ~$170k is wild. What’s the sample size? Obviously enterprise product. What’s the industry(s)?
Where is "millions burned on LLMs"?
Is that bottom row implying only around 25% are profitable?
Bootstrapping... not for the faint of heart.
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7moThe percentile calculation is by row? So it's the 50th percentile of each row invidually because it changes everything if you have a leading parameter like Revenue