a16z Podcast: Why SaaS Revenue is Worth More Than Traditional Software Sales

 

Andreessen Horowitz Managing Partner Scott Kupor and NetSuite CFO Ron Gill get into the weeds on SaaS valuations, and how public and private SaaS companies think differently about the recurring revenue model. Gill and Kupor break down their financial analysis of these kinds of companies — what metrics matter — and correct some of the misconceptions about the SaaS business model that even sophisticated investors tend to latch onto. Finally, Kupor offers his advice to private company entrepreneurs who are wondering why, in a public market environment that puts everyone under a microscope, would you ever want to go public?

The enterprise is changing

Sign up for our enterprise newsletter to get the a16z take on the trends reshaping B2B and enterprise tech.