Good to Great Growth Rates
Lenny Rachitsky, a popular PdM on Twitter, asked 25 VCs for growth rates. His findings:
- In the early stages, investors don’t care about month-over-month growth. MoM starts to matter when revenue nears $1M ARR.
- Good revenue growth is 15-25% MoM
- For B2B it is considered good to get to $500k in ARR 6mo after going live.
- Revenue can be overlooked if there is strong retention or engagement.
- Consumer businesses have to show retention more than revenue. "Over 50% DAU/MAU or 50% D30 retention is excellent."
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Life-long learner. Passionate about leadership, entrepreneurship, philosophy, Buddhism & SF. Founder @deepstash.
What great growth looks like in the eyes of the VCs
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