Tom Tunguz

JANUARY 23, 2017

By my estimate, AppDynamics is the fifth largest software acquisition in modern times. More astounding, the AppDynamics acquisition does set the absolute high water mark in one regard: acquisition multiple. In fact, there is no public metric that I can find to justify this massive premium over comparable acquisitions.

Deferred Revenue 100

Deferred Revenue Software Acquisition Government 100

Baremetrics

JUNE 30, 2021

Take a look at conversion rates, customer acquisition costs, and overall financial performance. Start with revenue and work from the top to the bottom of your income statement. Revenue models can help — but when you consider potential revenue, you must understand where it comes from. Annual contracts matter.

Startup 98

Startup Sales Hiring Sales Recruiting Deferred Revenue 98

OPEXEngine

MAY 22, 2020

CAC : Customer Acquisition Cost. Billings : Recognized revenue + change in deferred revenue for the period. ACD : Average Contract Duration. LTV : Lifetime Value. ATR : Available to Renew (the actual contracts up for renewal). NPS : Net Promoter Score – measure of customer satisfaction with your product.

Metrics 52

Metrics SaaS Deferred Revenue Benchmarks 52

Baremetrics

AUGUST 22, 2021

GAAP (Generally Accepted Accounting Principles) standards stipulate that instead you should move $50,000 at the end of each month into your revenue account and keep the unearned subscription revenue in a deferred revenue account as you have not yet earned the money.

Payment Features 90

Payment Features Payments Subscription Revenue 90

OPEXEngine

JANUARY 14, 2020

Many factors drive the high-growth of SaaS companies, including higher market adoption of SaaS and the structural advantages of the recurring subscription revenue model – see Why SaaS Companies Grow Faster. For SaaS companies, the investment is not recouped until after years of initial SaaS revenues. Balancing Profits Vs. Growth.

SaaS Payments 59

SaaS Payments SaaS Scale Customer Lifetime Value 59

ProfitWell

NOVEMBER 8, 2019

Customer acquisition costs , or CAC, umbrella the total cost of sales and marketing efforts required to acquire a customer. Through this tool, our team will solve issues ranging from deferred revenue, multi-element arrangements, evolving standards, and human error. Less CAC recovery time.

Merchant Services 68

Merchant Services SaaS Payments Payment Features Payment Services 68

Baremetrics

NOVEMBER 10, 2019

Say, your customer acquisition efforts are starting to pay off, and you need to keep an eye on your Customer Acquisition Cost (CAC). For more established companies, the standard and widely-understood method for forecasting cash from annual payments is to forecast Deferred Revenue. New Customers.

Deferred Revenue 111

Deferred Revenue SaaS Payments Sales Hiring Payment Services 111