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Model Building from the Ground Up

ConversionXL

Is your KPI net present value of the project? For simplicity, let’s say the KPI is profit (expected revenue – costs). The foundation of the model is the aggregate of the known information. The partitioning of this metric can be written as: Expected profit = Expected revenue – expected costs.

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

Cracking the Code

Be prepared to cross the desert - SaaS requires R&D and sales expense up front for a multi-year stream of revenue, so it demands enough investment capital to fund 4+ years of runway. Farming is also often overlooked, but can help grow customer accounts and revenues from 30% upwards (if successful). Great list! Philippe Botteri.