A combination of forces continues to drive the digital re-engineering of existing industries, emergence of new disruptive competitors as well as creation of entirely new industries. These forces are the plummeting costs of computing, communications, data storage, hardware manufacturing and software development. This group of forces has already delivered the broadband internet, the smartphone, and cloud computing, and is now bringing us artificial intelligence, machine learning, virtual reality and the internet of things.
The above technological advances significantly lowered the barriers to entry for SaaS and software-enabled businesses and resulted in a massive wave of Seed-funded startups in recent years. Over the corresponding period of time, the average Series A round more than doubled in size, driving the revenue thresholds to qualify for Series A significantly higher. As a result, many well-run startups now benefit from a post-Seed capital injection to extend runway and scale up to a larger Series A.
Runway’s mission is to identify high potential, post product-market fit companies at this juncture and turbo charge their growth with both our financial and human capital. When working with entrepreneurs, we leverage our successful experience investing in and building SaaS businesses and the resulting network for maximum impact, assisting in building out the organizational structure, sales effort, business development, capital formation, team building and general strategy.