Accurate, up-to-date information is key for any business looking to reach its goals. In the fast-paced world of SaaS company startups, the need for speed and accuracy is even more critical.
SaaS CFOs have to track metrics that go beyond the basics of standard financial reporting. There are metrics that are key to SaaS businesses. Depending on the stage of your SaaS business, some metrics are more important than others.
Zero in on the metrics that will move you to the next stage
Are you an Early Stage company or a Growth Stage company? Or, have you received several rounds of funding and are very close to the goal moment of IPO?
No matter where you are, you don’t have time for trial and error. You need to get it right the first time. Cordia Partners is pleased to offer the eBook, ‘Managing SaaS Metrics’. The ebook will quickly direct you to the key metrics for your company, regardless of your current stage.
As you move into early stage and Series A stock rounds, you are likely looking for initial traction. As you approach the Early Stage it’s important to know:
- What is your Monthly Recurring Revenue (MRR) or your Annual Recurring Revenue (ARR)?
- What is it costing your company to bring on new customers? Customer Acquisition Costs (CAC) will include all the Sales and Marketing costs required to close a deal.
As you move toward the IPO, your investors will want you to know:
- Your company’s Gross Margin?
- The ratio between your Customer Lifetime Value (CLTV) of revenues to the business compared to what it costs to acquire them?
- Who is staying with the company when it comes time to renew, and who is leaving due to voluntary churn? This can be tracked and managed on a customer count or a dollar amount, such as ARR.
Having the right metrics to drive decisions will increase momentum from initial traction to expanded growth and fuel your way to the Mezzanine round and your IPO.
Growth Stage to Going Public
It’s both a finish line and a new starting block: your IPO is the goal you have worked towards, but also the beginning of a new phase of the business. You will be operating in a new business environment with its own set of challenges. Cordia Partners has the expertise to guide you along with a cloud-based solution, Sage Intacct, that will grow and scale with you. Successful SaaS companies have benefited from the dimensional reporting and real-time dashboards that come with Sage Intacct.
Cordia Partners can help you configure and implement your Sage Intacct solution – we can start with a consultation today.