STARTUP GROWTH RATE:BENCHMARKS TO ESTIMATE YOUR

STARTUP’S GROWTH

The average company forecasts a growth rate of 120% for their first year

The projection for the second and third year are 83% and 60%,respectively

U.S. “small” companies are the most ambitious

They forecast on average 740%

growth in their first year

Once the company is slightly more established, the ambition mostly comes from India and Israel, outclassing their American counterparts

U.S. companies become more conservative as they grow

Among companies in the Small class,

Financial Services is projecting the largest

growth of 900%during the first year.

The sector with the highest growth expectation is…

As the companies grow a little larger, we

see that Consumer Goods expects the

highest growth rate, while Wellness and

Fitness slides behind in last position.

Consumer Goods takes the lead in the medium class

The Large class shows similar

behaviors in terms of forecasted

opportunity size. It is led by IT Services

and tailed by Retail.

IT Services project the highest growth rate among the larger companies

US startups show higher ambition and

forecast the timeframe to 21,21months on average.

Israel is the most conservative of the

studied countries with 24,34 months.

It takes 24 months from $0 to $1M in annual revenues

Aerospace, Chemicalsor Airlines industries

expect shorter timeframes - 18

months. Consumer companies in

competitive industries forecast 43 months to reach the $1m target.

Breaking down the values by industry gives us more insights into common timeframes

About the data

The data used in this analysis comes from the Equidam database. Equidam is the pioneer in online automated

valuation for startups and private companies.

As part of its activity, Equidam collects financial projection data from users, that can never be shared unless aggregated, and uses it to accomplish its mission of increasing valuation

objectivity and accessibility.

The dataset surveys more than 15000 companies in 78 countries, spanning from very early stage and pre-revenues

startups to VC backed or more traditional companies.

Equidam relies on a database of 10M data points on market transaction to find similar

companies and provide accurate financial parameters and valuation!

Try it out for free at:

www.equidam.com