T2D3 stands for "Triple Twice, Double Three Times" — a growth framework coined by Neeraj Agrawal at Battery Ventures in 2015. It describes the ARR trajectory a SaaS company needs to achieve to reach $100M ARR in roughly five years from a $1–2M ARR starting point.
The T2D3 ARR milestones
Starting from $1M ARR at seed:
| Year | Multiple | ARR |
|---|---|---|
| Seed | Starting | $1M |
| Year 1 | 3× | $3M |
| Year 2 | 3× | $9M |
| Year 3 | 2× | $18M |
| Year 4 | 2× | $36M |
| Year 5 | 2× | $72M |
The exact starting point varies — many T2D3 conversations begin at the Series A close (~$2–5M ARR). The principle is the same: triple ARR twice, then double it three times.
Do you need to hit T2D3 exactly?
No. T2D3 is a benchmark for top-decile SaaS companies raising institutional venture funding. The vast majority of successful SaaS businesses don't hit T2D3 and build profitable, valuable companies anyway.
The benchmark becomes relevant when: - You're raising a Series A or B from top-tier VCs - Your investors are benchmarking you against the venture portfolio - You're building toward an IPO or large strategic exit
Bootstrapped or venture-lite SaaS? A 40–60% YoY growth rate at $2–5M ARR is excellent.
Why early-stage growth must be faster
The T2D3 framework front-loads the hardest growth (tripling) because it's actually easier to triple from $1M than from $30M. At $1M ARR, a single enterprise contract or viral product-led growth spike can triple revenue. At $30M, you need an entirely different go-to-market engine.
This is the "treadmill" problem: the growth rate required to double from $36M to $72M in a year is a massive absolute number — $36M in net new ARR — while the percentage looks identical to year 1.
Calculate your growth rate
Use the ARR Growth Rate Calculator to see your current YoY growth rate, your trajectory to any target ARR, and how you compare to the T2D3 milestones.