Bessemer SaaS Efficiency Score
Bessemer Efficiency = Net New ARR / Net Burn. >1.0 = efficient (1 ARR per $1 burned). >2.0 world-class. <0.5 = capital inefficient.
| Net new ARR (quarter) | — |
| Net burn (quarter) | — |
| Bessemer Efficiency score | — |
| Verdict | — |
Bessemer SaaS Efficiency Score = Net New ARR / Net Cash Burn. World-class SaaS (above 2.0) means every $1 of burn produces $2+ of new ARR. Below 0.5 signals serious efficiency problems — burning faster than growing.
Score Interpretation
Above 2.0: world-class — investors will fund aggressively. 1.5-2.0: excellent. 1.0-1.5: efficient. 0.5-1.0: acceptable for early stage. Below 0.5: cash inefficient — investors hesitate, must improve or cut.
Path to Improvement
Increase Net New ARR: better pricing, faster sales cycle, higher win rate, larger ACV. Reduce Burn: optimize hosting, hiring discipline, cut underperforming channels, raise prices (highest leverage).
Stage-Adjusted Benchmarks
Series A: ≥0.5. Series B: ≥1.0. Series C: ≥1.5. Public SaaS: ≥2.0. Below stage benchmark suggests sub-optimal capital efficiency for the stage. PE/IPO bar is 1.5+ today.
Last updated May 2026. Sources: Bessemer Cloud Atlas.