The Critical SaaS KPIs

Every business is different, and everybody has their favorite metrics that they want to focus on at different times. But some SaaS metrics make more sense based on the level of maturity of your business.

A Fractional CFO can help you identify, define, and rigorously track the KPIs most relevant to your specific business stage and goals. Here are some of the most critical:

1. ARR/MRR (Annual/Monthly Recurring Revenue): The bedrock of SaaS. This tracks the predictable revenue from subscriptions. A CFO ensures this is calculated accurately (excluding one-time fees) and segmented by new business, expansion, churn, and downgrades to understand growth drivers.
2. Churn Rate (Customer & Revenue): Measures the percentage of customers or revenue lost over a period.3 High churn is a growth killer.4 A CFO helps analyze why churn is happening and its impact on future revenue.5
3. CAC (Customer Acquisition Cost): The total sales and marketing expenses divided by the number of new customers acquired in the same period.6 Understanding CAC is crucial for evaluating the efficiency of your go-to-market strategy.7 A CFO ensures all relevant costs are included and helps calculate CAC by channel or segment.

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How can we help you? Phrases we regularly hear from our clients include, “You meet me where I am, not where you want me to be”, “You put me in control of my job”, “For the first time, I have real numbers I can act on”, and “You gave me what my board wants”.

We elevate financial strategy to overcome challenges and drive company value for pre-seed to Series B SaaS companies. Founded in 2020, our team has over 100 years of combined experience in building B2B SaaS financial cores for companies. Contact us today to find out how we can help you manage and understand your SaaS KPIs.