Top 10 Learnings On What Getting Acquired is Really Like From Ex-Head of M&A at Own, Rackspace, NetApp and Yahoo!
So few having been doing M&A and acquiring start-ups for longer than Steve Mitzenmacher. He’s been heading M&A since early days at Yahoo!, then NetApp, then Rackspace, and then mos recently at Own Backup. And then Own was acquired itself … for...
The Real Data on What it Takes to Go Big and Eventually IPO with Meritech Capital
What's the real bar to IPO today? per @MeritechCapital: 1⃣$400M+ ARR2⃣Growth of 30% or higher YoY (50-60% is even better)3⃣A valuation between $3-5B 4⃣Net revenue retention of 110-120% (and trending up)5⃣Strong SaaS gross margins6⃣Clear path to profitability...
Pitchbook: There Are 300+ SaaS StartUps Waiting to IPO
So one question many are wondering about: just how many scale-ups are really getting ready to IPO? Pitchbook has a new analysis. They count 600+ start-ups with metrics far enough along to IPO: And they count 294 SaaS start-ups ready to IPO at the end of 2024, so...
A 10 Point Checklist To Use When You Sell Your Company. Bookmark It.
So we’ve written a lot over the years in terms of learnings on what to do when your company is acquired, from a deep dive with Ben Chestnut on what he learned from selling Mailchimp for $12 Billion in cash to Intuit, to the secrets of M&A from one of the...
Dear SaaStr: How Much Do Founder-CEOs Own at Time of Exit?
Dear SaaStr: How Much Do Founder-CEOs Own at Time of Exit? It can vary a lot, of course. If you never raise venture capital, the founder-CEO might own 50%, or even 100% in some cases. The founders of $10B+ Mailchimp still own 100% of the company, for example. But, on...
Dear SaaStr: If a Startup Raises $40 Million and Fails to Sell The Company, Do Founders Typically Exit With a Severance Package?
Dear SaaStr: If a Startup Raises $40 Million and Fails to Sell The Company, Do Founders Typically Exit With a Severance Package? Very rarely in a failed start-up, irrespective of the amount raised, will the founders end up with anything. If the start-up has raised a...What Does it Take to Get to the Next Level of Funding After Series B with Scale Ventures’ Stacey Bishop
How do you raise funds beyond Series B? Stacey Bishop with Scale Ventures shares what it takes to get to that next level of funding.
Dear SaaStr: If You Want to Buy Shares from a Founder That Has Left the Company, What Price Do You Use?
Dear SaaStr: If you have old founders who left the company and kept their shares, on what valuation you buy their shares? Generally speaking, there are two paradigms: Buy them out at Common Stock price (which is what they in fact own), based on the lastest option...
5 Tips On How to Handle Acquisition Talks
Dear SaaStr: What should I know about getting acquired? My top 5 tips: #1. Listen more. Talk less (on the target side). It’s very difficult to invent an acquisition. It’s almost impossible to create one, though it happens sometimes. Listen and learn. ...
Dear SaaStr: Do Shares Get “Forward Vested in an Acquisition?
Dear SaaStr: Do Shares Get “Forward Vested in an Acquisition? Stock vesting is accelerated very rarely in an acquistion. In 95%+ of cases, the acquirer wants folks to keep vesting just as before — or more so. Even where the option agreements or bylaws or...
Dear SaaStr: What Should Founders Do To Get Noticed By An Established Company’s M&A Team?
Dear SaaStr: What Should Founders Do To Get Noticed By An Established Company’s M&A Team? Don’t bother too much with trying to get “corporate development” or the M&A team’s attention. That’s not their job. Probably the most...
Dear SaaStr: How Do You Build a Real Exit Strategy?
Dear SaaStr: How Do You Build a Real Exit Strategy? First, bear in mind acquisitions are relatively rare. The vast majority of startups will never get one acquisition offer, let alone a good one. Still, it’s not random. I’ve been through it twice as a...
Can You Still Get Acquired for a Decent Price if Growth Has Slowed or Even Stopped? Yeah, Sometimes
So the other day a CEO reached out to me about advice on an acquisition. They wanted to do three things: Enter a space they had no product or customers in today; and Add on at least $10m of extra revenue for the year; and Not add too much to their burn rate. So this...
9 Things Founders Should Know About Getting Acquired with Brett Goldstein, Former M&A at Google
Former member of the M&A team at Google, Brett Goldstein, now Founder at Micro and Co-Founder & CEO of Launch House Ventures, shares the nine things founders should know about getting acquired. It’s a common dream for founders to hope their startup be acquired one day, but what is a company, like Google, really looking for in their acquisitions? And what should all founders know about the process if the time comes?
