At what level of ARR will a company start to get consistent acquisition offers?

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JASON LEMKIN

ARR alone these days won’t get you an acquisition offer. There are far, far too many successful SaaS startups.

But to get a relatively medium-to-high offer — you probably need at least $10m in ARR. Less than that, most Big Cos. won’t value your revenues at all. They’ll see the revenue as so small as to be irrelevant.

They may still buy you, but it would be for other reasons. The team. To plug a strategic gap in their line-up. Etc.

But below $10m in ARR is a rounding error for Big Tech Cos.

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Published on March 21, 2018

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