Growth of private companies in High liquidity sector: part 1, SaaS
Market insights
9 September

Last week, Chart Mogul released growth benchmarks for private SaaS companies, while Clouded Judgement shared Q2 2024 software earnings. We analyzed growth benchmarks for liquid private SaaS companies* and compared them with both private and public growth metrics. Here are the key insights.

Median SaaS YoY Revenue Growth
Whilst a slower growth across the board than last year, companies in the High liquidity sector are there for a reason - the performance is consistently stronger when compared to both public and private peers.

Median SaaS YoY Revenue Growth.png

What Defines High Growth in SaaS?

For private SaaS, according to Chart Mogul: The top 25% of companies saw 88% growth.
For Public SaaS, according to Clouded Judgement: High growth is considered >27% projected NTM growth.

EV/NTM Revenue Multiples

Top 10 Median Public Cloud Software: 13.4x
Top 10 Median High Liquidity Private SaaS: 18.5x

However, in the secondary market, impressive growth alone isn’t enough to command standout multiples. SaaS companies like Deel, Databricks, Figma, and Canva—boasting 80-90% gross margins—are trading at high multiples despite showing “just” double-digit growth rates.

Median SaaS YoY Revenue Growth (1080 x 1080 пикс.) (1).png

*SaaS companies with high liquidity on the secondary market (Launchbay liquidity score not less than 5 out of 10):
Airtable
Workato
ServiceTitan
Harness
Gusto
FloQast
Vercel
Postman
Deel
Rippling
Databricks
Wiz
Figma
Apollo.io
Canva
6sense
Navan
Retool
Automation Anywhere
Icertis

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