Your SaaS terms glossary

The process through which a private company becomes publicly traded by offering shares to the public.

Understand LTV: The key metric for customer value prediction.

LTV/CAC is key in assessing customer value vs cost in SaaS.

A financial ratio measuring a company's debt against its assets or equity.

Understand Logo Churn and its impact on business growth and retention.

Learn about logo retention, a crucial SaaS metric for client base health.

Understand MRR: key for subscription growth & financial stability.

Market Cap measures a company's total market value, crucial for assessing financial stability.

Market penetration measures a product's market share, crucial for growth.

Net Dollar Churn is a metric indicating net revenue change from existing customers.

Discover net margin and why it's vital for SaaS growth.

A metric that measures customer loyalty based on their likelihood to recommend a company.

Net revenue is the total revenue minus returns, allowances, and discounts, providing a clearer picture of actual income.

Learn about OBV, its importance in SaaS, and how to compute it.

Cash generated from normal business operations, essential for assessing financial health.

Expenses incurred from day-to-day operations, excluding production costs.

Operational Efficiency measures how well a company minimizes waste while maximizing productivity and profitability.

The time it takes to recover the investment cost, usually for marketing or customer acquisition.

Pipeline revenue estimates expected revenue from potential deals in the sales process.

Understand and compute the Quick Ratio for business liquidity.