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By Nathan LatkaFinance & Fintech3 min read

SaaS Metrics: The 12 Numbers That Run Every Software Company, Mapped

Every SaaS metric answers one of four questions: how big, how fast, what does a customer cost, and do they stay. Here's the whole stack in one map, with a real disclosed number attached to every definition — and links to the deep dives.

On this page
  1. How big: the revenue stack
  2. How fast: growth and its price
  3. What a customer costs and earns
  4. Do they stay: the retention stack
  5. How the twelve fit together

SaaS metrics look like a zoo until you notice they all answer one of four questions: How big are we? How fast are we growing? What does a customer cost and earn? Do customers stay? Twelve numbers cover the whole conversation — every board meeting, every fundraise, every episode in our interview archive. Here’s the map, each metric defined in a breath and pinned to a number a real founder disclosed.

$1.2M/monthWebflow MRR, 2018
600%1Mind early-cohort growth
$85 → $17–18Kdisclosed CAC range, Webflow to Workboard
150–175%GitLab NRR, the outlier

How big: the revenue stack

MRR

The normalized monthly value of active subscriptions; the operator’s heartbeat. Webflow at $1.2M/month in 2018; SafetyWing at $2M/month in 2023. Deep dive.

ARR / annual run rate

The same machine annualized, honest only when the month you multiplied is representative. When it lies.

GAAP revenue

What accountants recognize; the number that reconciles the other two at year-end.

How fast: growth and its price

Growth rate

The percentage change, YoY for honesty, MoM for flattery. Disclosed range: Webflow’s durable 100% three years running to 1Mind’s early-cohort 600%. Benchmarks by stage.

Rule of 40

Growth rate plus profit margin should clear 40; the exchange rate between speed and burn. GitLab’s Sid Sijbrandij used it as his burn ceiling at 140% growth.

Magic number / burn efficiency

New ARR per dollar of sales and marketing. GitLab targeted CAC recovery “on the first invoice” (magic number ~1.0); Workboard ran $2.50 of new revenue per S&M dollar.

What a customer costs and earns

ACV

A contract’s annualized value; it dictates your entire go-to-market, from Webflow’s $480 self-serve to Workboard’s $125K field motion. Deep dive.

ARPU / ARPA

Revenue per user or account; the mix-shift detector. Dropbox’s whole company is 18M payers × $139. When it lies.

CAC

Fully loaded acquisition cost. Disclosed range: $85 (Webflow) to $17–18K (Workboard). Benchmarks by motion.

CAC payback

Months to recover CAC; Outreach’s Manny Medina ran every segment against gross-margin-adjusted payback under 20 months, and the gross-margin adjustment is the part everyone skips.

LTV — what a customer is worth over their whole life — is the most manipulable number on this list. Deep dive.

Do they stay: the retention stack

Gross revenue churn

Dollars lost to cancellations and downgrades, the leak measured before expansion patches it. Disclosed: single digits (Showpad) to 14% (UserTesting) annually.

Net revenue retention

Last year’s cohort’s revenue today, expansion included; the line between compounding (100%+) and refilling. Disclosed range: ~100% (Webflow) → 120s (Salesloft, Algolia) → 140s (Outreach, Workboard) → GitLab’s outlier 150–175%. Formulas and benchmarks.

How the twelve fit together

The stack is a pipeline, not a list: ACV × customers gives MRR; MRR’s trend gives growth; CAC against ACV and margin gives payback; churn and expansion give NRR; NRR compounds (or erodes) everything upstream; and Rule of 40 prices the whole trade. Which is why experienced buyers of SaaS businesses ask for the metrics in exactly that order — and why a company that quotes a gorgeous number from one layer while hiding its neighbor (140% NRR over 25% gross churn, say, or a run rate annualized off a spike) is telling you where to look. The founders quoted across this series earned their citations the same way: by disclosing the neighbors too.

One habit beats any dashboard: pick the four numbers that answer the four questions for your model — typically MRR, YoY growth, gross-margin-adjusted payback, and NRR — and review them monthly against the same definitions. Everything else on this page is a diagnostic to pull when one of the four moves.

See all twelve, disclosed by thousands of SaaS companies, at getlatka.com/saas-companies.

SourcesFounder disclosures from the GetLatka interview archive; the GetLatka company dataset.

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