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Why Now is a Great Time to Raise Seed Funding. Even If It’s Awful for Series A-E Rounds.

SaaStr

So now is simply a terrible time to be raising growth stage venture capital. With the BVP Cloud Index down 40%+ from a year ago , and many of the top Cloud leaders trading for as low as 5x ARR, it’s just hard to justify a later stage $300m-$400m valuation round these days, let alone a true unicorn round.

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BVP: The Top Unicorns Are Still Raising at 23x ARR

SaaStr

So there’s a curious thing anyone close in venture capital fundraising and rounds today: Valuations for Hot VC Deals remain far higher than pre-March 2020 … even though growth for the overall public SaaS and Cloud companies has slowed to … all time lows. But the Cloud 100 was always outliers. Billion in ARR. We’ll see.

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Pilot: 57% of Venture Startups Will Need to Raise More In 2024

SaaStr

Ultimately, you also have to grow again to raise more venture capital. SaaS and Cloud growth overall will remain strong. SaaS and Cloud growth overall will remain strong. Shopify , Datadog, Crowdstrike , Google Cloud-Azure-AWS, Snowflake , etc. for the first time in 2024! Carpe Diem.

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The Top 10 SaaStr Posts of 2020

SaaStr

Many Cloud leaders grew 500% or more this year. “How Would a Person Start a Venture Capital Fund?” More details on why and how here: How would a person start a venture capital fund? More details on why and how here: How would a person start a venture capital fund? ” Maybe.

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Founders Today Just Need to Assume the Next Round Never Comes

SaaStr

And while AWS’s growth is down a bit, it’s still at epic levels, Azure isn’t even really down, and Google Cloud is growing faster than ever. Cloud stocks are down 50%, and multiples are down 75%, from their peaks. Cloud stocks are down 50%, and multiples are down 75%, from their peaks.

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Alteryx, ZoomInfo Have Blow Out Quarters. Datadog grows 74% at $2B in ARR. Ping Identify Acquired for $2.8 Billion. Don’t Call it a Downturn.

SaaStr

And inflation is awful. And even SaaS and Cloud leaders that come up a tiny bit short of Wall Street’s lofty expectations are in many cases still doing incredibly well. I’m not saying there isn’t a radical slow down in venture capital, with a ton of valuation compression. So are we in a downturn in SaaS?

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State of the Cloud 2019: Europa Edition with Alex Ferrara, Bessemer Venture Partners (Video + Transcript)

SaaStr

Bessemer Venture Partners’ Alex Ferrara takes a look at trends and predictions for the cloud industry in 2019. One of the most popular sessions from SaaStr Annual, this presentation will provides an in-depth look at the cloud computing industry across Europe and globally. Alex Ferrara | Partner @ Bessemer Venture Partners.

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