4 ms·
> Regardless - 400 employees for a $5 Billion company is on the absolute low end of where they will be if they actually justify that (rumored) valuation. This
by jpdoctor 15y ago
> Regardless - 400 employees for a $5 Billion company is on the absolute low end of where they will be if they actually justify that (rumored) valuation.
This is backwards thinking reminiscent of the bubble. "I want my company to be worth $5B, therefore I need 400 people working for it."
The lesson, which apparently was not sufficiently relearned, is that a public company should be worth about 1-3x revs or 13-18x earnings.
Ah well, another bunch of 401k money will go to money heaven just like it did last time. On the plus side, it will be taken by technologists who apparently have no compunction about relieving financially illiterate people of their retirement cash.