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A comment on Substack is laying off 14% of its staff. Parent comment

Re:Substack is laying off 14% of its staff by mavelikara on Wednesday June 29, 2022 @05:28PM (#31925935)
> By any yardstick, a price/sales ratio of 72 is ludicrous. It's the kind of thing that can only happen within the safety of a financial bubble.

If not 72, what revenue multiples are more appropriate as per the yardsticks you are familiar with?

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Re:Substack is laying off 14% of its staff by drc500free on Wednesday June 29, 2022 @05:34PM (#31925998)
Single digits, going to low double digits in some industries. Here are a few industry averages: https://eqvista.com/revenue-multiples-by-industry/
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Re:Substack is laying off 14% of its staff by JamesBarney on Wednesday June 29, 2022 @05:45PM (#31926081)
One of the industries is Computer Software: Prepackaged Software 112.17% 17.81

And that doesn't take into account that Substack is doubling every 6 months So Substack is 2 doublings or 12 months away of growth from bringing it's multiple to the industry standard, that might be an aggressive evaluation but it doesn't seem insane.

[0] https://www.statista.com/statistics/1243565/substack-paid-su...

* Not to mention most VC deals are sweeter than a pure purchase (in terms of being protected from a down round etc.. *

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