And CAC is usually considered together with LTV. If CAC > LTV, then ws number list the company is unlikely to be profitable in the long run. Generally speaking, if the LTV is about 3 times of the CAC, it is a good state. Many people think that it is very difficult to reduce CAC, but in fact many companies can reduce CAC to close to zero, which is also a very popular PLG ws number list (Product-Led Growth) recently.
V. Summary In my opinion, the best way to raise funds is not to find investors with PPT, but to find investors with customers and data. Before international SaaS financing ws number list expansion, we need to go through the following four stages: Verify PMF and find the first batch of seed users; Guaranteed customer retention rate > 90% or NDR > 120%; Increase the gross profit margin ws number list of products to more than 70%;
Decrease CAC to keep it less than one third of LTV. And if you meet the ws number list above conditions, and the company's ARR has reached $1 million, then I believe that even in ws number list the capital winter, it is not very difficult for you to finance expansion.