SaaS · Subscription economics
Connect subscriber growth to cash and funding.
A driver-based SaaS forecast that explains how MRR, ARR, retention, hiring and customer economics translate into cash burn and runway.
The business problem
Understand what drives the result.
A revenue target alone is not a plan. A SaaS model needs to show how new customer acquisition, churn, price and expansion flow through the P&L, cash and the next financing decision.
Scope, source information and the level of supporting documentation determine the procedures and deliverables.
Potential deliverables
- Monthly MRR and ARR bridges
- New customer, churn and retention schedules
- CAC, LTV and payback assumptions
- Integrated operating forecast and cash runway
- Upside, base and downside scenarios
- Management-ready KPI dashboard
From assumptions to decisions
Questions the work should answer
01 / QUESTION
How quickly does growth turn into cash burn?
02 / QUESTION
What if churn is higher than expected?
03 / QUESTION
Which hiring commitments are affordable?
How the model is structured
Clear inputs. Traceable calculations. Useful outputs.
The method is designed to reduce manual overrides and expose the assumptions behind the numbers.
- Map subscription products and revenue recognition drivers
- Build cohort and commercial assumptions
- Link customer movement to unit economics and financial statements
- Stress-test funding runway and key growth assumptions
Let’s put the numbers under scrutiny.
Tell me the model, the decision, the source information and the deadline. We will define a scope that fits the evidence.
Technical finance guide
Review the methodology in detail.
Walk through a worked numerical example, model mechanics and the checks that matter for this service.
Read the SaaS financial modeling guide ↗