Efficient growth? No problem, say startups • businessroundups.org

Welcome at the businessroundups.org Exchange, a weekly newsletter for startups and markets. It is inspired by the daily businessroundups.org+ column from which it takes its name. Do you want it in your inbox every Saturday? Register here.

Investors want to see these days not just growth, but also a path to profitability – and it’s not always easy for venture capitalized startups to suddenly change course. But their bootstrapped peers have an edge, a recent report shows. Let’s investigate. — Anna

Cheaper growth

2021, Alex and I wondered aloud if venture capital shunned startups could have it all. The answer seems to be yes this year.

Indeed, Capchase is recent Pulse of SaaS report contains an interesting finding: by 2022, bootstrapped SaaS companies will outperform VC-backed startups in many ways.

“Despite the treasury of funding that venture-backed firms raised last year, bootstrapped companies are outperforming venture-backed firms in nearly every metric we analyzed,” the SaaS-focused fintech wrote.


Related posts

To hire your first startup employee, start with a list of 1,500 people

Somethings, a youth mental health startup, launches with a $3.2 million raise led by General Catalyst

Hear how MinIO built a unicorn in object storage on top of Kubernetes and open source