Where SaaS margins should be

The general rule of thumb for spending in SaaS is 40/40/20. In other words, 40% of operating expense should be on R&D, 40% should be on sales and marketing, and 20% should be on G&A. 21 SaaS companies have gone……

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SaaS performance during recessions

We took a look at the data from 15 publicly traded software companies during the recession. The data is below.   1. Growth fell 15% on median. During the first 4 quarters of the recession highlighted in yellow, YOY growth……

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SaaS insights from a SaaS lender

If you haven’t subscribed to SaaS Capital’s emails, you should.  They put out fantastic data on the SaaS market.  The release below came from Managing Director Rob Belcher recently.  In it, he shares some observations from the past year.  The……

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The most entertaining book on SV

I read “Chaos Monkeys, Obscene Fortune and Random Failure in Silicon Valley.” The book is a 2015 vintage, but a lot of the lessons and take-aways are relevant today. It’s a great read that I would highly recommend; key excerpts……

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Finding your churn floor

Peloton’s prospectus (known as an S1) is fantastic in that the company shares a lot of data about the business. One trend however, really jumped out at us: while user engagement is increasing dramatically, churn is not declining. Below is……

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