The only 2 ways to build a $100 million business
Version One Ventures
SEPTEMBER 19, 2012
The biggest driver for high LTV is repeat purchase behavior (in an e-commerce business) respectively a low churn rate (in a SaaS company). As a VC, the biggest challenge in evaluating LTV models is that metrics can dramatically change at scale. In addition, churn tends to rise as a company grows.
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