This post is by Tomasz Tunguz from Tomasz Tunguz
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Constrained by a limited budget while seeking to grow as quickly as possible, startup founders must decide how to balance growing their engineering teams with their sales & marketing teams. To help inform those decisions, I’ve benchmarked the relative sizes of the sales and engineering teams of the 36 publicly-traded SaaS companies from founding to IPO, typically 7 years later. The graph above shows the average Sales & Marketing allocation in turquoise and Research & Development investment in red.