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Why Misunderstanding Startup Metrics Can Cost You Your Business

Both Sides of the Table

In product business it is often measured over multiple purchases and assumptions are made about the repeat rates and in the enterprise or services world LTV can be based on churn rates, which are notoriously hard to predict in an early-stage business. Poorly calculated LTVs can become BVs (bankruptcy values).

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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

A tool like Quuu identifies relevant, shareable content to keep your social media channels active. . Some notable metrics are revenue growth rates, free cashflow, leverage ratios, historical financing amounts, returns on marketing spend, customer acquisition costs, lifetime value of customers, customer churn rates, and team social scores.

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

Cracking the Code

This is misleading because in a recurring revenue model, Customer A is much more valuable to the business (assuming typical churn rates) as they will likely generate $360,000 of revenue for the business with renewals over that same three year period. Philippe Botteri. Bessemer SaaS Law #5.

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Turing Distinguished Leader Series: With Partner David Zhang, TVC

ReadWriteStart

That’s a valuation number and pricing number. And we’ll go out and ensure we’re getting our stuff out through the channels.” The churn rate increased, and then the stock plummeted by 70 percent. There are billion-dollar startups that have a later stage of maturity than the $10 billion company, right?

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