Expert fractional CFO services for B2B and B2C SaaS startups. Monthly SaaS metrics dashboards (MRR, ARR, churn, CAC, LTV), Rule of 40 optimization, unit economics modeling, fundraising financial models, board presentation packages, and burn rate/runway forecasting.
We provide the strategic financial leadership and operational rigor that SaaS companies need to scale efficiently, raise capital, and achieve sustainable growth.
Track the metrics that matter for SaaS: MRR, ARR, net revenue retention, churn, CAC, LTV, payback period, and more. Real-time visibility into business performance.
Key Metrics We Track:
Revenue Metrics:
Growth Metrics:
Customer Metrics:
Efficiency Metrics:
Deliverable:
Monthly dashboard (Google Sheets or Excel) with automated data pulls, trend analysis, cohort breakdowns, and commentary on key movements. Board-ready format.
The Rule of 40 (Growth Rate % + Profit Margin % ≥ 40%) is the gold standard for SaaS health. We help you optimize the balance between growth and profitability.
Rule of 40 Formula:
Revenue Growth Rate % + EBITDA Margin % ≥ 40%
Example: 60% growth + (-20%) EBITDA = 40% ✓
Example: 30% growth + 15% EBITDA = 45% ✓✓
Early Stage (Pre-$10M ARR):
Prioritize growth (60-100%+ YoY). Negative EBITDA is acceptable if Rule of 40 > 40%. Focus: land and expand, product-market fit.
Growth Stage ($10M-$50M ARR):
Balance growth (40-60%) with path to profitability. Target Rule of 40 > 50%. Focus: sales efficiency, unit economics, market expansion.
Scale Stage ($50M+ ARR):
Moderate growth (25-40%) with strong profitability (15-25% EBITDA). Rule of 40 > 60%. Focus: operational excellence, margin expansion, market leadership.
Build detailed unit economics models showing LTV, CAC, payback period, and contribution margin by customer segment, pricing tier, and acquisition channel.
What We Model:
Healthy SaaS Benchmarks:
Warning Signs:
Build comprehensive 3-5 year financial models for Series A/B/C fundraising. Scenario planning, sensitivity analysis, and investor-grade presentation.
Model Components:
Scenario Planning:
Why Investors Love Our Models:
Transparent assumptions, cohort-based revenue, realistic burn, clear path to profitability or next milestone. Answers investor questions before they're asked.
Monthly or quarterly board decks presenting financial performance, key metrics, strategic initiatives, and asks. Designed to keep your board informed and engaged.
Typical Board Deck Structure:
Deliverable:
15-25 slide deck, presenter notes, supporting appendix with detailed financials. We can present on your behalf or coach you through presentation.
Monthly cash burn analysis, runway forecasting with scenario planning, and strategic guidance on extending runway or accelerating growth.
Key Burn Metrics:
Healthy Benchmarks:
Red Flags:
Monthly Recurring Revenue (MRR):
The predictable monthly subscription revenue. Normalize annual contracts to monthly.
Annual Recurring Revenue (ARR):
MRR annualized. Use for companies with primarily annual contracts or >$1M revenue.
MRR Movement Breakdown:
Logo Churn Rate:
Percentage of customers who cancel in a given period.
Target: <5% monthly (<40% annually)
Net Revenue Retention (NRR):
Revenue retention including expansion, contraction, and churn. >100% = net expansion.
Target: >110% (best-in-class: >120%)
Gross Revenue Retention (GRR):
Revenue retention excluding expansion. Pure measure of stickiness.
Target: >90%
Customer Acquisition Cost (CAC):
Fully-loaded cost to acquire a new customer (sales + marketing + allocated overhead).
Example: $100K S&M spend, 50 new customers → CAC = $2,000
Lifetime Value (LTV):
Total gross profit from a customer over their lifetime, accounting for churn.
Example: $100 ARPU, 80% margin, 3% monthly churn → LTV = $2,667
LTV:CAC Ratio:
The efficiency of your business model. Higher is better.
Definition:
Number of months to recover CAC from gross profit dollars. Critical for cash flow planning.
CAC Payback = CAC / (ARPU × Gross Margin %)
Example:
CAC = $2,000
ARPU = $100/month
Gross Margin = 80%
Monthly Gross Profit = $80
CAC Payback = $2,000 / $80 = 25 months
Healthy:
<12 months
Acceptable:
12-18 months
Concerning:
18-24 months
Problematic:
>24 months
High-Growth Startup (Series A)
Burning cash but growing incredibly fast. Acceptable for early-stage raising capital.
Balanced Growth (Series B)
Strong growth with improving efficiency. Ideal balance for scale-stage companies.
Profitable Growth (Late-Stage)
Sustainable growth with strong profitability. IPO-ready metrics.
A B2B SaaS platform for sales teams. $5M ARR, 120% net revenue retention, 200+ customers, growing 10% month-over-month. Raised $8M Series A 18 months prior, now preparing for Series B.
The company had strong product-market fit but lacked financial rigor. Investors in their Series A asked tough questions they couldn't answer:
Financial Improvements:
Fundraising Success:
— CEO & Co-Founder
What to expect when engaging fractional CFO services for your SaaS company.
Choose the engagement level that fits your stage and needs. All packages include core financial oversight and monthly metrics dashboards.
For pre-seed and seed-stage startups
Billed monthly, 3-month minimum
For Series A/B companies scaling
Billed monthly, 6-month minimum
For fundraising or complex needs
Custom engagement, flexible terms
Get a free CFO strategy session to discuss your metrics, growth plans, and how we can help.