Attentive Needs 9,200 Customers per Month For Its €5M Valuation

In its Starter plan, Portugese startup Attentive sells sales software to small companies for €22 ($25) per user per month.

They just raised €1M from Indico Capital Partners and others.


Assume that Attentive sold a 20% equity stake to the investors.

Then Attentive is valued at €1M / 20% = €5M post-money.


Assume that the investors want to make 10x on their investment.

And that there will be an option pool and 2 follow-up rounds of 20% each.

Then Attentive must have a €5M * (10 / (1 – 20%) ^ 3) = €98M exit value for its €5M valuation.


Assume that Attentive trades at 4x trailing 12 months revenue at exit.

And that there will be no cash and debt.

Then Attentive must have an average €98M / 4 / 12 = €2M in revenue per month for its €5M valuation.


Attentive charges small companies €22 per user per month.

Then Attentive must have €2M / €22 = 92,000 users per month for its €5M valuation.


Assume that a customer has 10 users.

Then Attentive must have 92,000 / 10 = 9,200 customers per month for its €5M valuation.

Of course a large part of these 9,200 customers will be recurring.

For context: Portugal had 34,000 small companies in 2017.

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