article thumbnail

Cracking The Code: The Bessemer 10 laws of SaaS - Fall 2008.

Cracking the Code

This single number is the key to determine your level of sales and marketing investment and is very simple to calculate by looking at a quarterly GAAP P&L: you just have to divide the annualized net gross margin added during the quarter by the sales and marketing costs of the previous quarter. Philippe Botteri. Bessemer SaaS Law # 4.