A chart of accounts that investors understand
SaaS metrics start from clean revenue and cost lines. HelloBooks gives software companies a chart that maps easily to MRR, gross margin and burn.
- Subscription revenue by plan, plus implementation and services revenue
- Deferred revenue for annual and multi-year prepayments
- Hosting and third-party API costs as cost of revenue
- Payment gateway fees and chargebacks
- Research and development salaries, sales and marketing, general and admin