Jason M. LemkinCEO, SaaStr · Co-Founder of SaaStr AI, SaaStr Fund, Adobe Sign

How to Drive Rapid Revenue Growth: Tips for Startups

3 Aug 2024 · 0 min

Watch on YouTube

0:19

A YouTube video (recorded Aug 3, 2024) of Jason M. Lemkin in conversation about how startups should think about rapid revenue growth. The excerpt discusses what growth rates investors expect at different ARR levels (mentions 1M and 5M ARR), giving concrete monthly and annual growth benchmarks and arguing companies should be demonstrating multi-x yearly growth to attract investor interest.

Questions this video answers

6% month-over-month.

3x to 5x per year.

$1 million ARR and $5 million (ARR).

August 3, 2024.

But especially if I'm a first timer, figuring out if I'm at a million in revenue or pick two numbers if you want 5 million. Because emergence does a couple stages. Everyone does. How fast do I have to be growing? I know it's, I know I'm trying to make something quantitative that's a little qualitative, but if I'm growing 6% month over month, I'm not going to get a second meeting in emergence at 1 million ARR, am I?
You know, it's, it's very hard to give you a specific quantitative answer there because there's so much of it is the magic of the team team and the market opportunity. So our best companies right now are growing at rates of 3 to 5x per year. Right. So if you aren't demonstrating that, there better be a reason why you can get there at some point.
Right.