saas valuation metrics
Why SaaS Comparison Fails 5 Times for VCs?
Traditional SaaS multiples misprice usage-based firms because they ignore churn, credit costs, and usage volatility, leading VCs to overpay or underpay by up to 45%. SaaS Comparison: Why Traditional Valuation Metrics Miss the Mark Key Takeaways * Blend churn-adjusted LTV with ARR for usage-based firms. * Static seat-price benchmarks overvalue credit models.