How to Categorize Expenses in a SaaS Startup v2.0
Baremetrics
DECEMBER 7, 2023
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. You’ll probably want to include Contract Labor – R&D for any product-related contractors you work with.
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