The Polish SaaS Capital Index

Revenue multiples of public traded SaaS companies are starting point for the valuation of private SaaS startups. Until now I was using revenue multiples of SaaS companies listed on public markets in the USA.

However, since the valuations of public traded SaaS companies in the US have much higher revenue multiples than public traded SaaS companies in Central and Eastern Europe (the CEE region),?as well as startups from the CEE region have lower valuations than startups from the USA,?I needed more relevant benchmark and this is how this Polish SaaS Capital Index started.

Data as of: 30.12.2022

To have a point of reference, below a chart with median revenue multiples of SaaS companies listed in Poland and the USA (data for the USA is based on the BVP Nasdaq Emerging Cloud Index cloudindex.bvp.com).

About the Polish SaaS Index:

• Index includes companies traded on Polish stock exchanges GPW and NewConnect
• Data based on information from notowania.pb.pl
• The revenue multiple is based on annualized quarterly revenues (last quarter revenue x4)
• The index excludes service companies, ecommerce stores and ecommerce marketplaces, as well as companies which SaaS revenues smaller than 50% of their total revenues.
• The index is based on a relatively small number of companies, which means that one or two companies might significantly alter its outcome
• Companies included in the index: LiveChat, Shoper, Brand24, R22, Woodpecker, Vercom.

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About author:

Pawel is the investment director at Warsaw Equity Group. He previously co-managed three VC funds. To date, he completed more than 60 investments, over 20 exits, and has served on the supervisory and management boards of more than 30 companies. Between 2021-2022 he also supported startups with pre-seed and seed rounds, closing on average one round per month.

Pawel is actively involved in the development of the startup ecosystem in Poland and the CEE region as a mentor, speaker, lecturer, jury member, and author of numerous publications. He is also a mentor in the Social Business Accelerator program, part of the Polish Private Equity and Venture Capital Association.

Pawel graduated from the University of Wisconsin-Whitewater (USA) with a degree in Management.