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The risks section of an S-1 will always focus upon the worst case outcomes; if they don't and those outcomes are realised, investors will sue. Other recent S-1
by ctz 11y ago
The risks section of an S-1 will always focus upon the worst case outcomes; if they don't and those outcomes are realised, investors will sue.
Other recent S-1s have similar dire warnings, with almost identical language.
- ceejayoz 11y agoHow many are running a third of a billion dollars in deficit?
- x0x0 11y agosaas companies are a little tricker to value. Acquiring customers for say 1/3 of the clv is a great deal for a saas business but will show up as big losses because the acquisition cost is paid out up front while the revenue is earned monthly over the account life. see eg http://a16z.com/2014/05/13/understanding-saas-valuation-primer/ http://a16z.com/2014/05/13/understanding-saas-valuation-prim... if those customers are sticky, box should do well for themselves; if not, they're in trouble