The dollar-figure makes me wonder if there is a "valley multiplier" on startup valuations. These guys built a great business with epic growth outside of the valley with very little funding. Aside from their SaaS offering, they're doing $200k of commerce transactions PER DAY.
If they were in the Valley and had taken a few million in funding, would the price tag be different (i.e. much higher)? When I compare this exit to other 30-40M exits, Wufoo seems head-and-shoulders above the rest in terms of revenue/profit, proven growth, proven team, etc.
The other related question is: Is the multiplier "efficient"? In other words, if they took funding and HQ'ed in the Valley, say they would've had to dilute the founders from 33% to 23%. They'd also have a much bigger expense line around real estate and salaries. Would the Valley premium more than make up for all of that? I suspect that it would.
The dollar-figure makes me wonder if there is a "valley multiplier" on startup valuations. These guys built a great business with epic growth outside of the valley with very little funding. Aside from their SaaS offering, they're doing $200k of commerce transactions PER DAY.
If they were in the Valley and had taken a few million in funding, would the price tag be different (i.e. much higher)? When I compare this exit to other 30-40M exits, Wufoo seems head-and-shoulders above the rest in terms of revenue/profit, proven growth, proven team, etc.