The financial scandal at Luckin Coffee ($LK), the $12B Chinese startup that IPOd on Nasdaq last yr is crazy.

This wk Luckin ended an internal investigation confirming 2019 revenues were inflated by $300M. An anonymous short seller did A++ work to unveil the fraud in Jan/thread 1. Luckin grew from nothing to 4.5K stores and a $12B valuation over two years, one of the fastest growing Chinese startups - Starbuck's rival in China.

For early stage SaaS companies looking to raise future growth rounds, here's what growth stage funds typically ask to see for diligence. I am sharing what I send to friends who reach out

1. Quarterly ARR ramp (beg. ARR, new ARR, expansion ARR, churned ARR, ending ARR) /thread 2. Quarterly customer ramp (beg. logos, new logos, churned logos, ending logos)

3. Cohort data by customer count and $ spent, to get to 12-month gross dollar retention and net dollar retention +