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Unit Economics
Calculator

Calculate your Customer Lifetime Value (LTV), Customer Acquisition Cost (CAC), LTV:CAC ratio, and payback period - the essential metrics for sustainable growth.

LTV Inputs

$

Average Revenue Per User per month

%

Revenue minus cost of goods sold

%
months

CAC Inputs (Optional)

$

Monthly

$

Monthly

New customers in the same period

Enter ARPU and churn rate to calculate unit economics

Unit Economics Benchmarks

LTV:CAC Ratio of 3:1+

The gold standard for healthy SaaS. Less than 1:1 means you're losing money on each customer.

CAC Payback Under 12 Months

Recover your customer acquisition cost within a year. Enterprise can tolerate up to 18 months.

Monthly Churn Under 2%

Low churn means longer customer lifespan and higher LTV. 2% monthly = 22% annual churn.

70%+ Gross Margin

SaaS companies typically have 70-90% gross margins. Lower margins require higher volume.

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