SVB Analytics Launches Benchmarking Service

Company news  |  March 7, 2011

The Only Benchmark Data Available to Private Technology and Life Science Companies Offers Ability to Compare Financial Performance Against Relevant Peers

SAN FRANCISCO, March 7, 2011 –– SVB Analytics, a leading provider of business-critical information services, including valuation opinions and equity compensation management solutions, has launched the technology industry's only benchmarking service for private companies. Based on aggregated, anonymous client data gathered from Silicon Valley Bank's thousands of borrowers, SVB Analytics Benchmarking enables companies to compare their performance against their peers in the technology, cleantech and life science sectors on financial measures such as revenue growth, expense composition, cash burn rate and liquidity.

SVB Analytics Benchmarking gives private companies the ability to query its database with any number of financial questions:
• Is my sales growth stronger than that of my peer group?
• Is my expense structure appropriate for a company at my stage?
• Do I have enough cash runway to enable me to reach my milestones?

"Until now I have had limited visibility into knowing how our financials compared to other companies with similar profiles, peers, or competitors," said Jim Paulson, Chief Operating Officer of Viewpoint Construction Software, which provides software services to run construction businesses. "SVB Analytics Benchmarking puts business information at my fingertips to help me make informed planning and budgeting decisions, provide defensible comparison reports to our board and investors, and challenge my staff to perform at best practice levels."

"The SVB Analytics Benchmarking service is a unique and invaluable resource for small company research and analysis," said Alexander Taylor of WR Hambrecht & Co, an investment bank specializing in working with technology companies. "It is a truly outstanding product unlike anything else offered by financial institutions."

SVB Analytics Benchmarking aggregates relevant data so clients can see how they compare to other companies of their size, in their industry and/or in their geographic location without divulging the identity of the other companies. This anonymous data gives users the mean and median of the peer group to help gauge their own performance in relative terms without any competitor's specific information being singled out or divulged.

Benchmarking is the latest addition to SVB Analytics' unified suite of services, which includes valuation opinions, equity compensation management and research. The full suite of SVB Analytics services is designed to prepare SVB's clients for audits, to meet detailed compliance requirements and present meaningful, timely and accurate data to their Boards of Directors.

"SVB's dedication to entrepreneurial companies gives us unmatched access to the data required to offer insights into critical management decisions at key points in a company's growth," said Dave Krimm, head of strategy and research for SVB Analytics. "The companies that have tested our Benchmarking service truly can't believe what a wealth of information is now available to them."

In addition to the launch of its flexible, on-demand benchmarking tool, SVB Analytics will begin publishing a Quarterly Trends Report, which aggregates this data at the industry and sector level to offer insights into trends in the software, hardware, life science and cleantech sectors.

"Advancing our mission to help entrepreneurs succeed, we are continuing to develop new tools and services that only SVB can offer. This is one more way we can give our clients the full benefit of their participation in the SVB network of technology, life science and cleantech companies worldwide," said Iris Hit-Shagir, president of SVB Analytics.

Based on SVB's data and analysis of the software sector, SVB Analytics is hosting a free online seminar on valuations and exits on March 23, 2011. A panel of speakers will present and discuss a range of data on operating performance, venture funding and valuations, and M&A and IPO activity at this event titled, "Into the Cloud - Trends in Software Investments and Exits." 

About SVB Analytics SVB Analytics, a member of SVB Financial Group (Nasdaq: SIVB), provides business-critical information for private companies and their venture capital investors. Its services enable companies to comply with tax and audit requirements and report to their boards more effectively, and enable investors to make and manage their fund investments with greater insight. Specifically, SVB Analytics offers corporate equity management solutions to track and expense ownership interests accurately and valuation services to help companies comply with IRC 409A, FAS 123R, FAS 141/142 and FAS 157. Please find more information at www.svb.com/svbanalytics. 

SVB Analytics is a non-bank affiliate of Silicon Valley Bank. Products and services offered by SVB Analytics are not insured by the FDIC or any other Federal Government Agency and are not guaranteed by Silicon Valley Bank or its affiliates. Silicon Valley Bank is a member of the FDIC and the Federal Reserve System and it is the California bank subsidiary of SVB Financial Group, which is also a member of the Federal Reserve System. SVB analytics does not provide tax or legal advice. Please consult your tax or legal advisors for such guidance.