Companies valued purely based on revenue streams alone will typically sell for 2x to 5x their yearly revenue.
This is a big part of why it's SMART for most consumer startups to avoid earning revenue at all. Doing so will often cap their potential exit price, in practice.
Still, this at least was at the higher end, for purely revenue-based valuations.
How many SV VCs would have turned him down because his team and his pitch deck weren't cool enough, and they "weren't looking for investments in that sector"?
I'd love to see more examples of successful bootstrapped and/or lifestyle businesses, but - unlike PoF - most of them they don't get the same PR as the mainstream startups, which makes them harder to find/follow.
This is a big part of why it's SMART for most consumer startups to avoid earning revenue at all. Doing so will often cap their potential exit price, in practice.
Still, this at least was at the higher end, for purely revenue-based valuations.