I think it’s clear that the world of technology start-ups is pretty screwed up when it comes to financial valuations. Only in this world is whether or not your company is profitable so often seen as being of secondary importance. I digress. By Geoff Roberts.
In this post author is going to share the most important lessons about growing a SaaS business that he learned at Buildium—collectively, these things had an awful lot to do with the company being valued so highly.
Some highlights from this article:
- Focus on a market segment until you dominate it
- You don’t need a huge TAM (Total Addressable Market) to build a big company
- The early team is everything
- You can design any sort of equity structure that you want
- Venture capital is a tool and a commitment, not an outcome
- Don’t discount the value of “non-recurring” revenue
- What you do behind closed doors says everything about your character
… and much more. The lesson here is simple: Don’t be distracted by new or adjacent markets until you’re truly winning and dominating in your own. Good read!
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