Why Misunderstanding Startup Metrics Can Cost You Your Business
Both Sides of the Table
APRIL 26, 2016
The key to being able to run a business that isn’t yet profitable (on operating margin) is availability of capital to finance losses and preferably at a cost that isn’t too punitive to the founders and employees. CAC is often measured incorrectly and doesn’t often doesn’t capture the true costs of acquisition. The first input is CAC.
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