Growth calculator

LTV:CAC Calculator

Estimate customer lifetime value, compare it with CAC, and see how churn, expansion, support costs, and discounting affect the ratio.

Inputs

Currency *Applies to revenue, CAC, support cost, and LTV outputs.Average revenue per customer per month *Average monthly recurring or recognized revenue for one customer.Gross margin rate *Gross margin on monthly revenue, such as 75%.Monthly churn rate *Expected monthly customer churn. Use 0% only when modeling a hard lifetime cap.CAC *Customer acquisition cost used as the denominator in the LTV:CAC ratio.Monthly expansion rateExpected monthly revenue expansion for retained customers.Support cost per customer per monthMonthly support or success cost subtracted from gross profit.Maximum lifetime monthsCap used to prevent extreme lifetime values from very low churn assumptions.Annual discount rateOptional annual discount rate for discounted cash-flow LTV.Onboarding gross profitOne-time onboarding or implementation gross profit added to LTV.

Results

Results are deterministic scenario outputs, not guarantees.

Enter values and calculate to see the summary, supporting metrics, warnings, and interpretation.

Example

Example: LTV:CAC ratio

If monthly revenue is $250, gross margin is 75%, support cost is $25, churn is 3%, and CAC is $1,200, the calculator models customer-month gross profit, caps lifetime at the selected maximum, and compares modeled LTV with acquisition cost.

Want help interpreting the model?

Use this calculator as a deterministic planning tool, then talk with Propel Collective about which assumptions are worth validating first.

Book a consultation