SaaS Metrics
SaaS Magic Number Calculator
Measure sales efficiency by annualising sequential quarterly subscription revenue growth against prior-quarter sales and marketing spend.
Result
Formula and methodology
Magic number = 4 × (Current-quarter revenue − Previous-quarter revenue) ÷ Prior-quarter sales and marketing spend
Use consistent definitions, dates and fully diluted ownership assumptions where relevant.
Worked example
Revenue rising ₹10 lakh with ₹20 lakh prior spend gives 2.0.
How to use
- Enter the requested assumptions using consistent units.
- Select Calculate.
- Review the method and limitations before using the estimate.
Frequently asked questions
What does this calculator estimate?
Measure sales efficiency by annualising sequential quarterly subscription revenue growth against prior-quarter sales and marketing spend.
Is this result guaranteed?
No. It is a simplified scenario and actual commercial or investment outcomes may differ.
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Disclaimer: This is a simplified planning estimate. It is not professional financial, accounting, legal or tax advice.