This content was created by Jason M. Lemkin. This content was uploaded by Jason M. Lemkin. This is a YouTube video titled "How to Price Your Series A Startup for Maximum Funding Success" containing a conversation recorded on October 2, 2023, featuring Jason M. Lemkin and another speaker discussing strategies for pricing and pitching Series A funding rounds for startups.
Look, if you are raising a Series A and you're doing $2 million in revenue, you are not worth. Generally, you are not going to be raising at 10 free. That's just. That's not happening. So there is a. There is a private premium for sure, but I think you got to go to market and see what the market tells you. That's usually the best way to do it. Yes, you got to do. You got to, like, you got to test them. When we work with portfolio companies, we'll often tell them to kind of go off Broadway first. Like, you know, you practice your pitch, right, with people who you don't think are a good fit or unlikely to be the people that you want to work with, because the more times you give the pitch, the better you get at it. But you also then get feedback on what the questions are and, like, what people are thinking in terms of valuation. And then you kind of do your Broadway pitch.
Your thoughts is, no matter what happened last year, I think all the time I've been in SaaS, including the founder, there's been an anchor valuation, which is 10x arrangements.
