Sorry. I pulled my figure from the article in the post which claims "Google had $23.47 billion in cash and cash equivalents as of Dec. 31, implying it might have to seek financing for the deal."
There is a correlation analysis in Jamin Ball's "Clouded Judgement" substack [1] which shows the correlation between next twelve month ("NTM") Revenue Multiples and Revenue Annual Growth Rates for public market tech / SaaS stocks.
The current Slope-Intercept is (NTM Revenue Multiple) = 36.677*(NTM Rev Growth Rate) + 2.0013. If Wiz is doubling revenue (100% Growth Rate) and they are at about $500M of revenue today [2], then the multiple according to that calculation is ~38.7 X Next Twelve Month Revenue ($1B) or $38.7B.
So, the price is in line with the market...or you could argue even a discount to it.
Congrats! Seems like a Retool competitor but focused more on developers? I'm not sure if that's the direction I would go since developers already have pretty good tooling for their level of expertise, IMO.
Although, I could see how building an app that uses data across the various SaaS tools a company uses without requiring that data to be dumped into another database could be useful. Maybe I'm missing the point.
As an aside, I'd love to see Retool but for less technical people. Specifically, a way to make Google Sheets available for multiple people in a company to use. We have multiple quick and dirty "calculators" (think pricing for sales, comp for recruiting) that we roll out across our company. Eventually they get operationalized and converted into proper applications (or we buy a SaaS product for it) but would be nice to have an interim solution. Some requirements:
- Ability to create a very simple CRUD web UI
- Authz/n with ability for IT to integrate into their SSO.
- Google Sheets backend and integration so financial analysts can update and manage.
Because Superblocks is quite broad in nature we end up being compared to a wide variety of tools but we at the same time integrate with them.
For example you mentioned Retool which has a UI builder, but also Zapier and more recently BI tools. We have a customer who's moving off Tableau which was a surprise at first because Tableau is well designed for fast analysis for SQL-only users and that's not our core audience.
I guess we don't really deliver on what you're looking for wrt an offering for less technical users than developers, because to really be proficient in Superblocks you'll need to understand SQL, calling APIs, Python or JS to get the full value.
regarding Google Sheets integration that is our most popular integration alongside Postgres, the end users can easily user it like a database.
The 409(a) valuation is the value of the common shares. They are generally valued at a discount to the preferred shares (or company valuation) due to the fact that the preferred shares have a pay back preference and the common are considered less liquid. The discount is generally higher (70-80%) during the early stages of a company when a liquidity event is less certain and the discount decreases over time.
In that case the calculation in the OP seems even more wrong?
>The difference between these two values is the “Implied Value per Share”
By subtracting the two values, you're getting the preferred shares premium, not the "implied value" of the options.
The proper name for "implied value" used in the OP is "intrinsic value"[1]. While it's possible for that to be present, it's probably negligible. At the very least, it's non-trivial to determine, and requires a lot of guesswork regarding the actual current value of the company. 409a valuations exist specifically to prevent giving employees compensation via the intrinsic value of an option (eg. apple issuing options with a strike price of $0.01). Most of the value of the option is in the time value, which is even harder to calculate.
OP isn't attempting to calculate any sort of actual market value for the options, the post just presents a method for determining how many options to grant employees by assuming:
* Investors recently paid FMV per share
* The employee's cost per share will be 409a_value
* The company is actually worth or grows into the current valuation
therefore
* Each share in the employee's grant is theoretically worth (FMV - 409a_value) to the employee
* This value can be used to determine how many shares to grant new employees given the % of base salary equity targets.
Another method might be to use different % of base salary targets and divide that equity value by the current 409a_value instead of the intrinsic value, or to offer flat % of ownership grants by role.
Teleport (https://goteleport.com) is an open core software company that enables engineers to quickly access any computing resource anywhere.
We are hiring our first in-house recruiter. We need a full cycle recruiter to manage 50 engineering hires next year across the stack of (Go / Rust, React, Linux and Cryptography engineering), along with helping with Sales/Marketing hires.
There is a pretty simple feature that would alleviate a lot of pain with Stripe’s billing service when invoicing enterprises - allow for attaching a pdf of the invoice in the automated email.
Many enterprise A/P departments require it. The lack of this feature has prevented us from moving off our existing invoicing system to Stripe. I’m guessing we are not unique.
It's not just enterprise - many small / mid size places are much much happier (myself included) with an invoice attached.
AWS gets this right (even though invoice is high level). You get something that can be quickly forwarded down / up and around and end up in the AP system / accounting system etc in good shape (ie, vs a 6 page PDF of an email chain). They just care that third party invoice is there in good shape with approval by whoever owns the expense line its hitting.
Are there non-PEO solutions to alleviate the administrative burden of having employees in many states? Keeping up with employment and tax compliance requirements is not trivial. Most HR systems (for smaller companies) I’ve seen still require the employer to register with each state. Might be a good startup idea.
We build an open source solution[1] to deploy autonomous Kubernetes clusters into on-prem or air-gapped environments but it's also useful for limiting cloud lock-in (even has its own "IAM" built in). Of course, you have to also limit your use of proprietary services (which definitely has its trade-offs) but might be worth poking around if you believe reducing lock-in is worth it.
I'm surprised Quickbooks Online is not listed here [0]. I'm guessing they are the blocker here? I have fallen back on using Zapier but the sync often breaks. Native integration would be preferred.
GOOG's latest balance sheet showed $96B in cash.