As an entrepreneur, you need two things: revenue projection for your company and the desired return profile of the investor you’re pitching. The rest we can calculate using data from the past decade of public company valuations. These valuations are the benchmark most investors use. The 5x Revenue Multiple While there are many approaches to valuing a SaaS business, the most common is using a revenue multiple. We calculate the revenue multiple of a public company by multiplying the most recent quarterly revenue by four and dividing that number into the enterprise value. The data reveals a consistent valuation range between 4x and 6x revenue, with 5x revenue as the all-time median. Times of euphoria, such as late 2013 through early 2014, and periods of depression, such as late 2008 through late 2010, are also easy to identify.

http://techcrunch.com/2015/06/05/what-we-know-from-a-decade-of-saas/?utm_content=buffer408e9&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer#.ilzdrk:uer2