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

Insider Look: Key Trends in Series B Funding & Growth Strategies

22 Oct 2023 · 1 min

Watch on YouTube

0:50

A short segment from a Jason M. Lemkin YouTube video analyzing Series B funding trends. The speaker reports typical Series B check sizes (~$10–40M), valuations (roughly $80–200M), common ARR levels at Series B (~$6–12M), and that more than half of these companies are growing at less than 2x—higher proportion than in previous years, implying rounds occur later with more ARR but slower growth.

Questions this video answers

$10–40 million

Approximately $80–200 million

Approximately $6–12 million

More than half (majority) are growing at less than 2x

Chapters

You can see that most of the Series B rounds were very roughly in the 10 to 40 million range, and valuations were again very roughly between 80 to 200. Now, looking at ARR levels at the Series B companies, you can see that most Companies were around 6 to 12 million in ARR, and interestingly, more than half of them were growing at less than 2x. In previous years, that proportion was lower. So it's a bit similar to what we saw previously for the series, as the rounds tend to happen a little bit later at a little bit more ARR, but with a little bit less growth.