
Annual Recurring Revenue (ARR) Predictable yearly subscription revenue at scale
Monthly Recurring Revenue (MRR) Recurring revenue momentum month to month
Compound Monthly Growth Rate (CMGR) Normalizes growth into consistent monthly rate
Customer Concentration Flags revenue risk from a few big customers
Net Dollar Retention (NDR) Expansion minus churn across customer base
Gross Dollar Retention (GDR) Revenue retained excluding expansion
Logo Retention Tracks customer count stability over time
New Sales ARR / S&M Expense Shows efficiency turning spend into new ARR
Customer Acquisition Cost (CAC) Cost to acquire a new customer
CAC Payback Period Months to recover CAC from gross profit
Magic Number Net new ARR per prior S&M dollar
Gross Margin Profitability after cost of delivery
Lifetime Value (LTV) Total revenue per customer over lifetime
Burn Measures cash used to operate
Burn Multiple Burn required per net new ARR
ARR per Employee Revenue efficiency relative to headcount
Runway Months of cash left at current burn
Slice & Dice Your Metrics to Build Any Financial Report

Cut Through the Fluff, Focus on What Moves the Needle
Founders and operators are flooded with advice. We simplified it. This guide breaks down the key SaaS KPIs — from ARR and retention to CAC payback and burn multiple — with plain-language explanations, real benchmarks, and formulas that actually make sense.
No Jargon. No Guesswork. Just Clarity
Wondering if your churn is healthy? Or whether your Magic Number holds up? This is your cheat sheet. Print it, share it, or drop it in your data room. We’ve included common pitfalls, real-world benchmarks, and simple formulas for fast decision-making.
