Hacker News new | ask | show | jobs
by zilchers 1792 days ago
The terminology around seed vs a vs b is so skewed right now, but a 50 person series a startup, just estimating, is a 5 mil per year burn. Hard to say exactly the raise, but personally I’d be uncomfortable with less than 3 years runway, so let’s call it a 12mil raise. 12 mil raise for 25% of the company (again, totally back of the napkin here) puts us at basically 50mil valuation. 50 mil valuation on 1mil ARR seems way high to me, basically this all seems sort of shifted left on the headcount side (series b should be 50 people) and right on the revenue side.
1 comments

I feel like 3 years of runway is actually quite a lot if you're gunning for extremely fast growth. I think you would have raised a Series B well within 3 years if you're growing as expected.