It used to be you basically had two options to make money as a founder:
* hope for an IPO many years down the road.
* Or maybe get acquired by a handful of BigCos.
Today, startups have so many more options for founder liquidity:
* hope for an IPO many years down the road.
* Or maybe get acquired by a handful of BigCos.
Today, startups have so many more options for founder liquidity:
#1. Secondary liquidity in any hot A-B-C-D+ round
Secondary liquidity is now commonplace in any hot round with a Big Fund in it.
This means you can make at least a million or two dollars in just a few years if you build something meaningful, without selling your company
Secondary liquidity is now commonplace in any hot round with a Big Fund in it.
This means you can make at least a million or two dollars in just a few years if you build something meaningful, without selling your company
#2. Acquisition by a competitor
This used to be a bummer, but with 400+ unicorns today and so many decacorns, your competitor can now buy you for hundreds of millions or more down the road
This often makes sense to consolidate #1 position in market
This used to be a bummer, but with 400+ unicorns today and so many decacorns, your competitor can now buy you for hundreds of millions or more down the road
This often makes sense to consolidate #1 position in market
#3. Sale to PE firm
Every week, PE firms buy up another SaaS company from $10m-$1000m in ARR. Some are public like Pluralsight, Realpage, etc. but most are private.
Gainsight and Pipedrive were just bought for $1B+ by PE in the past few weeks. Many others too
Every week, PE firms buy up another SaaS company from $10m-$1000m in ARR. Some are public like Pluralsight, Realpage, etc. but most are private.
Gainsight and Pipedrive were just bought for $1B+ by PE in the past few weeks. Many others too
In short, there are 10x more ways to make meaningful money as a founder than 5+ years ago
Yes, there are also 10x more great SaaS start-ups
But put your head down, get to $10m ARR growing 100% YoY, slug it out, and build something great
The money really will come if you do
Yes, there are also 10x more great SaaS start-ups
But put your head down, get to $10m ARR growing 100% YoY, slug it out, and build something great
The money really will come if you do
IPO + M&A by Google/MSFT/FB/SFDC etc. not necessarily required anymore to make real $$$
So just go for it
So just go for it