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How to Categorize Expenses in a SaaS Startup v2.0

Baremetrics

The gist of it is that Cost of Revenue includes costs that go into providing your Software as a Service. You’ll need Cost of Revenue to calculate your Gross Margin, which in turn you need to calculate Customer Lifetime Value (LTV), Customer Acquisition Cost (CAC) Payback Time and to understand your company’s unit economics in general.

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How to categorize expenses in a SaaS startup

Baremetrics

This is where you record all of the costs that go to providing your service, such as hosting and customer support payroll. If you have sales from Professional services, you’d want to create two sets of Cost of Goods Sold?—?one Sales & Marketing. Next, we set up your Sales & Marketing (S&M) costs. Engineering.

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25% of B2B SaaS Sales Are Headed to Cloud Marketplaces

OpenView Labs

Cloud marketplaces like AWS Marketplace, Azure Marketplace and Google Cloud Platform Marketplace are digital storefronts where companies can list their offerings for software buyers to find, purchase and provision software. . This data revealed a clear picture of where cloud marketplaces are heading in 2021.

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When Does Open Source Make Sense for a Business?

OpenView Labs

Think: financial services, healthcare, and other highly-regulated industries. The Apache Software License v2 has long been a highly popular open-source license, but it has caused a lot of headaches in recent days as cloud services ( cough, cough, AWS ) have forked a number of projects and developed PaaS offerings around them.