article thumbnail

How to Categorize Expenses in a SaaS Startup v2.0

Baremetrics

The main benefits of categorizing your SaaS company’s expenses are more accurate metrics and forecasts, and getting a better understanding of your company’s overall spending. The gist of it is that Cost of Revenue includes costs that go into providing your Software as a Service. This is a v2.0 What’s their new CAC Payback Time?

article thumbnail

How to categorize expenses in a SaaS startup

Baremetrics

Proper expense categorization improves your visibility into your company’s spending while enabling more accurate metrics and forecasting. After all, as a startup founder, you want to have a solid idea of what your true gross margins are and what it actually costs to acquire a customer! in this case Software & Tools?—?Engineering.

Startup 81