Magazine Article | August 1, 2018

Private SaaS Company Growth Rate Benchmarks

Source: Software Executive magazine

By SaaS Capital

It’s not difficult to benchmark your SaaS business’s performance against that of public SaaS companies, but it’s also not that helpful. To solve for this information gap, SaaS Capital has been surveying private SaaS businesses since 2012. Its most recent survey covered 2017 performance of 950+ companies. The survey covers a wide range of topics including churn, CAC, unit economics, and spending levels, but SaaS Capital sees revenue growth as the most important metric. This is because a SaaS company’s growth rate relative to that of other SaaS businesses of a similar size is the single largest determinant of a company’s valuation multiple.