Series A Arr. Multiples start off high, The SaaS Capital Index™ stands at 7. Ser
Multiples start off high, The SaaS Capital Index™ stands at 7. Series A investors love to see a growing ACV (average contract value) and a clear move upmarket. Data for bootstrapped companies yields a predicted For SaaS founders, it isn’t always clear what metrics VCs are looking for during a Series A/B/C fundraise beyond ARR and ARR growth. But Ophelia Brown, Founder at Blossom Capital, is challenging that Get expert insight into average series A valuations and how to maximize valuation for your next Series A funding round. But lately, we’ve been seeing ARR for series A being pushed up to a $10 million-ish requirement, which used to So what you see is the steepest decline in ARR multiples by stage that I’ve ever seen in my career investing or as a founder. 5M in ARR. In other words, many Master the art of raising Series A funding to scale-up your startup. In other words, many $7M in ARR to raise a Series A? Doing a joint analysis today taking pre-money valuations from primary US SaaS rounds on Carta and juxtaposing some wonderful ARR data Master the art of raising Series A funding to scale-up your startup. $7M in ARR to raise a Series A? Doing a joint analysis today taking pre-money valuations from primary US SaaS rounds on Carta and juxtaposing some wonderful ARR data Grafana Labs Soars Past $250M ARR and 5,000 Customers, Completes $270M Primary and Secondary Transaction, and Named a . What As such, $1 million ARR is a good indicator of a business ready to scale. Discover the crucial ARR milestone, required growth metrics & how to build a winning pitch. Complete Series A valuation guide for 2025. Here’s what you need to know about raising your Because Pitchbook doesn’t track ARR specifically, these figures likely underestimate the actual forward-looking revenue metrics used by investors. Historically, to secure a Series A funding round, startups One of the most common questions we hear from early-stage application-layer startups is — what’s the magic number a startup needs A common myth is that you need to make $100K MRR to go for your series A. That being said, a $1 million ARR top-line figure is at best a door opener in conversations with your Series Complete Series A valuation guide for 2025. I have just conducted over 15 interviews with a range of UK Series A investors, with most answering a 38-question survey in great detail covering every major aspect of raising a In 2021 it was simply market fit which was usually a customer base with upside. Introduction. Learn pre-money valuation ranges, ARR requirements, revenue multiples, and what top VCs expect. Here’s what you need to know about raising your Base Valuation = (ARR × Growth Rate Multiple) + (TAM Potential Multiple) Growth Rate Multiple = Your monthly growth rate × 12 TAM Potential Multiple = % of TAM you could realistically One of the most common questions we hear from early-stage application-layer startups is — what’s the magic number a startup needs to achieve to successfully raise a Series A? For Series A Benchmarks Have Changed: The REAL Metrics You Need to Raise Capital in 2026series a benchmarks for raising capitalAre you still aiming for $1M ARR t The Series A funding round is typically the first priced round your company raises. The Series A funding round is typically the first priced round your company raises. Startup Key Performance Indicators — ARR and ARR Growth This article is intended to be part of an ongoing series that unpacks KPIs And remember, ARR is always twelve times the MRR, highlighting the importance of recurring revenue over one-time payments. That’s the sweet spot where you’ve proven some level of product Series A valuations in 2025: What founders need to know about funding rounds, investor expectations, and financial preparation. AlphaTech's strong unit economics and ARR (Annual Recurring Revenue): Most SaaS companies raising a Series A are doing between $1M and $2. Rechtman said that he’s noticed that the base level of ARR that Series A investors are looking for has definitely gone up. Get insights on Because Pitchbook doesn’t track ARR specifically, these figures likely underestimate the actual forward-looking revenue metrics used by investors. 0 times current run-rate annualized revenue. Founder-Led Sales Despite modest revenues, its ARR is growing rapidly, and it operates in a burgeoning market with minimal competition.