Performance Metrics
Metrics help analyze and predict the performance of a business. There are varius types of metrics that an entreneur needs to be aware of.
Here’s a categorized outline of important startup performance metrics:
I. Customer Acquisition & Marketing Metrics
- CAC (Customer Acquisition Cost)
- CPL (Cost Per Lead)
- LTV (Customer Lifetime Value)
- CAC Payback Period
- Conversion Rate
- Lead Velocity Rate
II. Revenue & Growth Metrics
- MRR (Monthly Recurring Revenue)
- ARR (Annual Recurring Revenue)
- ACV (Average Contract Value)
- TCV (Total Contract Value)
- ARPU (Average Revenue Per User)
- Revenue Growth Rate
- Churned Revenue
- Expansion Revenue
- Net Revenue Retention (NRR)
III. Customer Success & Retention Metrics
- Customer Churn Rate
- Customer Retention Rate
- Net Promoter Score (NPS)
- Customer Satisfaction Score (CSAT)
- Customer Engagement Score
IV. Financial & Operational Metrics
- Cash Burn Rate
- Cash Runway
- Gross Margin
- Operating Margin
- EBITDA
- Working Capital
- Accounts Receivable (AR)
- Accounts Invoiced (AI)
V. Sales & Funnel Metrics
- Sales Pipeline
- Sales Velocity
- Sales Cycle Length
- Win Rate
- Order Book Value
- Bookings vs Billings
- Quota Attainment
VI. Strategic & Value Build Metrics
- Value Build / Equity Value Creation
- Valuation Growth
- Cap Table Health
- Founder's Equity
- Time to Product-Market Fit
- North Star Metric