The Official SaaStr Podcast: SaaS | Founders | Investors cover image

SaaStr 599: Growth vs. Efficiency: How to Weatherproof Your SaaS Startup for Tougher Times with Point Nine Founder and Partner Christoph Janz

The Official SaaStr Podcast: SaaS | Founders | Investors

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SaaS - The Burn Multiple and the Cuck Payback Period

There are two metrics that I think are particularly important. One is the burn multiple, which you might have heard about and which I'll talk about a bit. The other is the cuck payback period. 1 to 1.5 is generally considered to be good or very good, and lower than one is great. And it's also okay, at least in my view, for the burn multiple to be higher at certain times,. like when you've just raised a lot of money and you're not bringing in so much revenue.

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