Reporting & Insights Engine

How it works

The interpreter evaluates up to six metrics and derives two additional ones from your inputs. LTV is calculated as ACV divided by monthly churn rate (expressed as a decimal), which gives the expected lifetime revenue per customer assuming constant churn. LTV:CAC ratio is then LTV divided by your CAC input. Payback period is calculated as CAC divided by ACV, giving months to recover acquisition cost from a single customer. Each metric is evaluated against two thresholds. LTV:CAC is good at 3x or above, acceptable between 1.5x and 3x, and a warning below 1.5x. Payback period is good at 12 months or less, acceptable at up to 24 months, and a cash flow risk beyond that. Monthly churn is good at 2% or below, manageable up to 5%, and high above 5%. Lead-to-customer conversion rate is strong at 3% or above and weak below 1%. Month-over-month traffic change is positive at 10% or above and declining if negative. Email open rate, which is optional, is strong above 25% and below average under 15%. Metrics are assigned weights that reflect their relative impact on business health. LTV:CAC, payback period, and churn each carry a weight of 2. Conversion rate, traffic, and email open rate each carry a weight of 1. The health score is a weighted average where good counts as 100, acceptable as 50, and bad as 0. The verdict tiers are Healthy at 75 or above, At Risk from 45 to 74, and Critical below 45. The thresholds are generalized benchmarks. A 24-month payback period is acceptable for a well-funded SaaS company and critical for a bootstrapped one. Use the verdicts as a starting point for diagnosis, not a final judgment.