If you have a sass product and you are planning to raise funds, build a projection excel sheet for your revenue & rough expenses.
Here is what I had built:
- Estimated month on month customer growth taking into account 5% churn (5 is high)
- Estimated revenue based on point 1
- Estimated burn taking into account salaries, marketing & sales expenses, server costs & other spends (office space)
Having a projection sheet like thing allowed us to so simple simulations based on change is pricing, number of customer & churn rate. It allows gave us an idea of how much capital we would need to raise.