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  4. Ltv Cac

LTV:CAC ratio

Value per $1 spent to acquire customers.

Rule of thumb

Healthy SaaS often targets 3:1 or better. Too high may signal under-investment in growth.

Formulas

LTV:CAC
LTV / CAC

Ensure both LTV and CAC are consistent (gross margin basis, blended vs paid).

FAQs

Related

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