Find me ten of the hottest SaaS startups that haven't raised a Series A
Hi! Thank you for your question about ten of the hottest SaaS startups that haven't raised a Series A.
In short, I have provided details on 10 SaaS startups namely, Qwilr, Moltin, CakeSkore, HigherMe, Impraise, Gigwell, BulldozAIR, PolyMail, Tenjin, and FlexReceipts in the spreadsheet. I have provided a deep dive of my findings below.
There are various definitions out there about what is considered a Series A. However, the most consistent decision irrespective of funding round is based on the definition that the company has already tested its product in the market and has generated ARR of $2M+. Pre-series A companies rarely have many talks in the media and hence, most of the lists I found regarding hottest SaaS startups were much larger in size. Traditional VCs start participating from Series A and this is the point when startups are covered in media widely and their products start making an impact. This can be seen from lists provided by Angel, Inc, and Techcrunch. I did go through these lists however, most had already raised Series A. A few which were pre-Series A had raised the Seed round long back like 15Five and Geckoboard in 2012. These startups having not raised Series A over 4-5 years in the SaaS marketplace which has a high Customer Acquisition Cost in the early years raises doubts on their success. Therefore, I have selected those startups which raised their Seed level very recently (2016 and 2017) since the client is interested in investing in them. The approach I took to find these investments has been to identify leading Seed level investors in SaaS space such as Nine Point Capital and YC.
Using this approach, I have provided the details on 10 SaaS startups who have raised Seed round but not Series A. These are updated along with information on their founders’ background and brief description on the company. I have taken a global look at these startups however, most are based in US. The spreadsheet is uploaded here.
To conclude, we have provided information on 10 SaaS startups pre-Series A. To identify them as rising or hottest, I have used the metric of latest seed round to be in 2017 or 2016.
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