SaaSGrid utilizes a best-in-class methodology for SaaS KPIs, while also providing the flexibility to support a wide range of analyses and business models. This documentation covers in detail how each metric is calculated so start-ups can have full confidence in their numbers. To view SaaSGrid charts populated with dummy data, see our demo dashboard.
SaaSGrid is designed to support subscription or usage/transaction based software revenue, and currently does not support non-software revenue, such as hardware or services, or future projections. Because SaaSGrid is focused on SaaS KPIs, the relevant revenue values may diverge from GAAP revenue. When filling out revenue in the SaaSGrid template, use the following guidelines:
For subscription models, input Monthly Recurring Revenue (MRR) as of the end of each month. Some examples:
For usage or transaction based models, input the net revenue accrued in the month. Some examples:
The inputted revenue figure, regardless of whether it is MRR or net revenue, will be referred to as “revenue” in the below KPI definitions. “New revenue” will refer to the inputted revenue figure for customers who have never produced revenue in a previous period. Similarly, “new customers” are customers with inputted revenue in a given month and no revenue in any previous month.
Aggregation
Data is inputted into SaaSGrid in months, but KPIs can be aggregated into quarterly and annual views. Quarterly and annual aggregations have two settings:
For example, for the year starting in 2021:
Calendar Year
SaaS Year (FY 2022)
When metrics are shown on a quarterly or annual basis, there are two ways to compute the aggregation: based on the last month of the period or the sum of all the months in the period.
For example, Q1 revenue could be:
Since SaaSGrid defaults to run-rate metrics, for most revenue metrics we use the last month of the period. Exceptions are Gross Margin, Burn Multiple, and LTV. All cost metrics are computed by using the sum of the costs for the months in the period.