Extra Crunch Tuesday: One final $100M ARR company and the startups we want to meet in 2021

Welcome to Extra Crunch Tuesday

Alex Wilhelm began nominating startups to his “$100M ARR club” last year to get a clearer understanding of the relationship between revenue and company valuations.

At the time, he said $100 million in annual recurring revenue was a “a pretty good demarcator for what a unicorn should be: rare, valuable and fundamentally desirable.”

One year later, he has reconsidered his stance: “Mostly what we managed was to collect a bucket of companies that were about to go public.”

Heading into 2021, he’s reframing his perspective to study startups that have reached the $50 million annual run rate threshold.

“At $50 million ARR, a startup is scaling to IPO size,” he says. “That’s the goal, after all.”

If your privately held company has an ARR between $35 million and $60 million and you’d like to talk about growth, Alex would like to hear from you.

We’ll continue to publish Extra Crunch this week but will take Friday off for the Christmas holiday. Thanks very much for reading!

Walter Thompson
Senior Editor, TechCrunch
@yourprotagonist

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