With the glut of startups raising $1 million+ in recent months, it’s easy to forget how frickin’ big you have to already be before raising a major VC round. So, at a recent startup gathering in Santiago, Chile, Ash Fontana of AngelList presented a rough guideline of user-base size when raising a million-dollar-or-more round, according to TechCrunch:
Social companies should have at least 100,000 downloads/signups before going for a big round.
Marketplace/e-commerce companies should have around $50,000 in revenue per month.
Enterprise companies should have at least 1,000 “paid seats” at $10 per seat per month.
Big enterprise companies should have at least two “huge” pilot contracts.
Keeping in mind that these are ballpark figures, Ash fairly proves that entrepreneurship is no get-rich-quick scheme.
Except for food apps. Those’ll never be devalued!