Last update: March 31, 2025
Browse OpenVC's database of investors funding startups in SaaS, cloud solutions, and subscription software.
Fundraising in SaaS is a game of metrics, momentum, and investor fit—and most founders play it wrong.
Venture capitalists love SaaS because of recurring revenue, scalability, and high margins. But loving SaaS as a concept doesn’t mean they’ll fund just any software startup. If your metrics are weak, your positioning is vague, or your go-to-market isn’t working, good luck getting past the first meeting.
This guide will cut through the fluff and show you exactly what SaaS investors want, how to find the right ones, and how to pitch them without wasting time.
Not all SaaS startups are VC-backable. Here’s what top SaaS VCs actually care about:
✅ Annual Recurring Revenue (ARR): If you’re post-revenue, ARR growth rate is your #1 selling point. Investors love to see 100%+ YoY growth, but benchmarks vary by stage.
✅ Net Revenue Retention (NRR): The best SaaS companies make more money from existing customers over time. Anything below 100% NRR is a red flag. If you're at 120%+, you're golden.
✅ Customer Acquisition Cost (CAC) & Lifetime Value (LTV): If it costs you $3,000 to acquire a customer who only pays you $2,500 over their lifetime, you’re in trouble. Investors want to see LTV at least 3x CAC.
✅ Burn Rate & Capital Efficiency: SaaS is no longer about "grow at all costs." If you’re burning too much cash without a clear path to profitability, expect hard-hitting questions.
🚩 Biggest Red Flags for SaaS Investors:
💡 Before reaching out to investors, make sure your SaaS metrics are solid. If your numbers don’t hold up, investors won’t either.
🔹 Early-stage (Pre-seed round & Seed round): Angel investors, SaaS-focused micro-VCs, accelerator programs (YC, Techstars). 🔹 Growth-stage (Series A & Beyond): Institutional VC firms specializing in SaaS, later-stage growth funds, and private equity firms. 🔹 Strategic Investors: Large SaaS companies sometimes invest in startups that complement their product ecosystem.
💰 Pre-seed/Seed: MVP, early revenue ($0–$1M ARR), strong team, early traction. 💰 Series A: \~$1M+ ARR, predictable sales motion, solid retention. 💰 Series B & Beyond: Rapid scaling, proven GTM, strong NRR & CAC efficiency.
⏳ How long does fundraising take?
Need pitch deck design help? Check out OpenVC’s SaaS pitch deck template.
Not all SaaS investors are the same. Some specialize in B2B SaaS, others in vertical SaaS (healthtech, fintech, AI), and some only do PLG models.
Let’s face it, finding the right investor is very difficult in traditional strategies like mass-emailing 100+ VCs. There are more effective approaches that allow you to target the ones who actually invest in startups like yours.
On OpenVC, you can filter SaaS investors by: ✅ Check size – From angel rounds to $50M growth-stage checks. ✅ Industries – Generalist VC vs. SaaS-specific investors. ✅ Investor Type – VCs, PE firms, family offices, angels, and more. ✅ Geography – US-based, EU-focused, global, etc.
🚀 Don’t waste time with the wrong investors. Sign up for OpenVC to find the best SaaS VCs and connect instantly.
📈 AI-powered SaaS solutions – Specific applications include AI agents, AI App Stores, AI infrastructure, and AI-powered Dev Tools. 📈 Product-led growth (PLG) – Self-serve, bottom-up adoption is winning over sales-heavy models. 📈 Usage-based pricing – Investors are loving flexible pricing models that scale with customer usage.
📊 Clear metrics: ARR, NRR, CAC, LTV, burn rate in your financials slide. 🚀 Go-to-market strategy: Include a GTM slide explaining how you’re acquiring customers and scaling. 💡 Differentiation: What makes your SaaS better than existing solutions? (competition slide
🚫 No clear ICP (Ideal Customer Profile) – If you don’t know who you’re selling to, that’s a problem. 🚫 Weak retention metrics – Investors won’t fund a leaky bucket. 🚫 Fluff over fundamentals – "AI-powered" is cool, but does it actually improve retention & revenue?
💡 Before pitching, make sure your numbers hold up. Need a solid pitch deck? Download OpenVC’s free SaaS pitch template.
❓ How much traction do I need to raise a SaaS Seed round? ✅ Typically $10k–$50k MRR or strong early adoption with high retention.
❓ Should I raise from a SaaS-specific VC or a generalist investor? ✅ SaaS-focused VCs understand your metrics and benchmarks better. But generalists might write bigger checks.
❓ What’s the biggest red flag for SaaS investors? ✅ High churn. If customers aren’t sticking around, you don’t have a business—just a marketing budget.
Find the Best SaaS Investors and VC Firms on OpenVC
🚀 Ready to start raising? Here’s how OpenVC helps SaaS founders like you:
🔥 Join OpenVC today for FREE and start connecting with top SaaS investors instantly.
OpenVC is an open platform that allows tech founders to connect with investors.
We provide founders with an investor list, a fundraising CRM, and a deck hosting solution for free - no commission, no subscription.
We also offer a Premium membership for the founders who want fundraising superpowers.
It's simple: create an account and search for the right investors. Each investor is different: some accept cold emails while other prefer online forms or warm intros.
To learn how to use OpenVC read the 5-min tutorial.
OpenVC is 100% free for investors - no subscription, no commission.
Just click "Sign up" and follow the instructions. Make sure to give a detailed description of your thesis, so you receive qualified deal flow.
Please note that it takes ~24 hours to get your profile approved.
Hi there! We are Stephane and Lucas, the makers of OpenVC. We put a lot of heart and work into it. We hope you'll like it.
OpenVC is free to use for both sides. Similar to Linkedin, anyone can sign up and connect with investors via OpenVC. We also offer a Premium membership for founders who want superpowers to raise funds.
Just email steph [at] openvc [dot] app or find us on X.