Startup Funding Espresso -- Metrics for B2B SaaS
Metrics for B2B SaaS Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Here are the key metrics for B2B SaaS startups: Committed Annual Recurring Revenue (CARR) - this shows the overall health of the business as it includes new users as well as churn. To calculate, take the current ARR and add new bookings and upsells and subtract downgrade bookings and churn. Net dollar retention - this shows the growth net of churn which is an indicator of motion in the business. To calculate, take the month\u2019s revenue accounting for upgrades, downgrades, and churn, and divide by the previous month\u2019s revenue. Net new logos - indicates new company growth. To calculate, add up the number of new companies onboarded in a month. Quota attainment - what percentage of sales reps make quota in a period of time. To calculate, divide the number of sales reps achieving quota by total number of sales reps. CAC payback - the number of months of revenue to pay back for the cost of customer acquisition.\xa0 To calculate, divide sales and marketing cost by net new ARR, times gross margin. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let\u2019s go startup something today. ____________________________________ For more episodes from Investor Connect, please visit the site at: \xa0 Check out our other podcasts here: \xa0 For Investors check out: \xa0 For Startups check out: \xa0 For eGuides check out: \xa0 For upcoming Events, check out \xa0 For Feedback please contact info@tencapital.group\xa0\xa0 Please , share, and leave a review. Music courtesy of .