← Benchmarks·GLOBAL / FINANCIAL·PUBLISHED

Burn multiple

Capital efficiency of growth.

Formula
Net burn / net new ARR
Unit
ratio (lower better)
Models
SaaS, Usage-based
Benchmark
As of 2020
ALL<1x amazing, 1-1.5x great, 1.5-2x good, 2-3x suboptimal, >3x bad. Breaks pre-revenue.David Sacks / Craft Ventures (2020)
Sourcing: Published.
Omega Point BenchmarksGlobal / Financial