SaaSOptics

AUGUST 17, 2020

This post outlines the two primary differences between revenue modeling for each type of business model. . Revenue Modeling: Revenue Growth Over Time. For non-subscription businesses, future revenue is unknown because it depends on future sales that have not yet occurred.

Deferred Revenue 98

Deferred Revenue Subscription Payment Features Revenue 98

Baremetrics

NOVEMBER 10, 2019

This model allowed me to work with dozens of SaaS startups using spreadsheets, while we built our financial modeling software Flightpath. Although SaaS companies share many features across their business models, there is enough variation that requires differentiation in the financial model. New Customers.

Deferred Revenue 111

Deferred Revenue SaaS Payments Sales Hiring Payment Services 111

Baremetrics

JUNE 30, 2021

Financial modeling or cash flow forecasting software is great for this. Working capital is important to your business model. What's your monthly recurring revenue (MRR)? Different membership tiers need their own model. Knowing when your customers will pay — and when you owe your suppliers and vendors — is huge.

Startup 98

Startup Sales Hiring Sales Recruiting Deferred Revenue 98

ProfitWell

JULY 20, 2020

SaaS companies run on a dynamically different business model compared to traditional companies. The monthly subscription revenue model, unfortunately, is not enough to ensure consistency of income in the long-term. This makes deferring revenue a challenge, which in turn, complicates SaaS financial audits.

SaaS Payments 59

SaaS Payments Deferred Revenue Payment Solutions Payment Services 59

ProfitWell

SEPTEMBER 24, 2019

In fact, it’s not recorded in any meaningful way that’s comparable to other revenue statistics (particularly deferred revenue, which it’s often confused with). Revenue backlog is commonly confused with deferred revenue. Deferred revenue refers expressly to individual periods within a contract.

Payment Features 40

Payment Features Deferred Revenue Revenue Subscription 40

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

MAY 22, 2020

Operators like looking at individual metrics but to understand them, you need good benchmarks to identify those metrics that are out of whack for your model. That’s what OPEXEngine does, by benchmarking detailed metrics for cohorts of SaaS companies with similar business models, ie.,

Metrics 52

Metrics SaaS Deferred Revenue Benchmarks 52