4 Part Guide For Measuring (And Actually Using) Advanced Metrics For a SaaS Company

4 Part Guide For Measuring (And Actually Using) Advanced Metrics For a SaaS Company

Back in 2008, Warren Buffett was approached by a struggling insurance company.

He asked them to fax over their financial data to the hotel he was staying in (in Edmonton, Alberta)…

Within just a few hours he was able to put together a proposal to acquire them.

How did he do it?

He knew what to look for in the numbers — and more importantly, knew the implications of those numbers.

His nickname may be the “Oracle of Omaha”… but it’s not witchcraft or wizardry that has made him one of the world’s wealthiest men.

It’s his advanced knowledge of the metrics, and how to stack them in his favor.

In this week’s video, I breakdown (and give you the exact calculations) of the 4 advanced SaaS metrics that can provide game changing insights and decision-making capabilities for you and your company.

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At a high level, here are the four advanced SaaS metrics:

  1. Net negative churn
  2. SaaS magic number
  3. Quick ratio
  4. The rule of 40

If there’s ONE number I’d love for you to actually measure while watching this episode, it’s your Saas Magic Number.

In just a few mins you can have newfound clarity on your sales efficiency, and be able to make a data-backed decision on whether or not you should increase, maintain, or decrease your marketing spend throughout 2019.

Powerful stuff with massive implications.

Give the full episode a watch here, and then drop me a comment letting me know what you measured for your SaaS Magic Number… and how that number might affect your decision making this year.

 

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