Financial Metrics and KPIs

9 out of 10 CEOs are tracking the wrong metrics. (I learned this the hard way.) So many are flying blind. Making gut decisions. Wondering why growth feels so hard. But these 18 KPIs change everything. Here's what every CEO should be watching: REVENUE & PROFITABILITY ↳ Revenue Growth Rate shows if you're gaining momentum ↳ Gross Margin reveals your pricing power ↳ Net Profit Margin tells the real health story CASH & RUNWAY ↳ Operating Cash Flow confirms you're funding yourself ↳ Cash Runway warns when to raise or cut spend ↳ Burn Multiple shows capital efficiency to investors CUSTOMER METRICS ↳ Customer Acquisition Cost guides marketing budgets ↳ Customer Lifetime Value validates if CAC is justified ↳ LTV-to-CAC Ratio predicts long-term profitability RETENTION & GROWTH ↳ Net Revenue Retention measures product stickiness ↳ Churn Rate gives early alerts on product issues ↳ Net Promoter Score predicts retention and referrals OPERATIONAL EFFICIENCY ↳ Sales Cycle Length impacts cash flow forecasts ↳ Days Sales Outstanding signals collection efficiency ↳ Employee Turnover Rate reflects culture and hiring FINANCIAL HEALTH ↳ EBITDA strips out accounting noise ↳ Growth Efficiency Ratio reveals expansion quality ↳ Average Revenue Per Account tracks upsell impact The magic isn't in tracking everything. It's in tracking the RIGHT things consistently. Most CEOs drown in vanity metrics while missing the signals that actually predict success. These 18 KPIs cut through the noise. They give you the clarity to make confident decisions. And the confidence to sleep better at night. 🔖 Save this cheat sheet. Review it monthly. ♻️ Share it. Help a CEO in your network. P.S. Which KPI do you watch most closely? Share in the comments below. Want a PDF of the 18 KPIs for CEOs? Get it free: https://lnkd.in/dhh5irfH And follow Eric Partaker for more CEO insights. ————— 📢 Ready to become a world-class CEO? I'm hosting a FREE TRAINING: "7 Steps to Become a Super Productive CEO" Thur, June 12th, 12 noon Eastern / 5pm UK time https://lnkd.in/d9BuZcrd 📌 20+ Founders & CEOs have already enrolled in our  next CEO Accelerator cohort, starting July 23rd. Earlybird offer ENDS SOON. Learn more and apply: https://lnkd.in/dwjGUkEN

Over the last year, I’ve seen many people fall into the same trap: They launch an AI-powered agent (chatbot, assistant, support tool, etc.)… But only track surface-level KPIs — like response time or number of users. That’s not enough. To create AI systems that actually deliver value, we need 𝗵𝗼𝗹𝗶𝘀𝘁𝗶𝗰, 𝗵𝘂𝗺𝗮𝗻-𝗰𝗲𝗻𝘁𝗿𝗶𝗰 𝗺𝗲𝘁𝗿𝗶𝗰𝘀 that reflect: • User trust • Task success • Business impact • Experience quality    This infographic highlights 15 𝘦𝘴𝘴𝘦𝘯𝘵𝘪𝘢𝘭 dimensions to consider: ↳ 𝗥𝗲𝘀𝗽𝗼𝗻𝘀𝗲 𝗔𝗰𝗰𝘂𝗿𝗮𝗰𝘆 — Are your AI answers actually useful and correct? ↳ 𝗧𝗮𝘀𝗸 𝗖𝗼𝗺𝗽𝗹𝗲𝘁𝗶𝗼𝗻 𝗥𝗮𝘁𝗲 — Can the agent complete full workflows, not just answer trivia? ↳ 𝗟𝗮𝘁𝗲𝗻𝗰𝘆 — Response speed still matters, especially in production. ↳ 𝗨𝘀𝗲𝗿 𝗘𝗻𝗴𝗮𝗴𝗲𝗺𝗲𝗻𝘁 — How often are users returning or interacting meaningfully? ↳ 𝗦𝘂𝗰𝗰𝗲𝘀𝘀 𝗥𝗮𝘁𝗲 — Did the user achieve their goal? This is your north star. ↳ 𝗘𝗿𝗿𝗼𝗿 𝗥𝗮𝘁𝗲 — Irrelevant or wrong responses? That’s friction. ↳ 𝗦𝗲𝘀𝘀𝗶𝗼𝗻 𝗗𝘂𝗿𝗮𝘁𝗶𝗼𝗻 — Longer isn’t always better — it depends on the goal. ↳ 𝗨𝘀𝗲𝗿 𝗥𝗲𝘁𝗲𝗻𝘁𝗶𝗼𝗻 — Are users coming back 𝘢𝘧𝘵𝘦𝘳 the first experience? ↳ 𝗖𝗼𝘀𝘁 𝗽𝗲𝗿 𝗜𝗻𝘁𝗲𝗿𝗮𝗰𝘁𝗶𝗼𝗻 — Especially critical at scale. Budget-wise agents win. ↳ 𝗖𝗼𝗻𝘃𝗲𝗿𝘀𝗮𝘁𝗶𝗼𝗻 𝗗𝗲𝗽𝘁𝗵 — Can the agent handle follow-ups and multi-turn dialogue? ↳ 𝗨𝘀𝗲𝗿 𝗦𝗮𝘁𝗶𝘀𝗳𝗮𝗰𝘁𝗶𝗼𝗻 𝗦𝗰𝗼𝗿𝗲 — Feedback from actual users is gold. ↳ 𝗖𝗼𝗻𝘁𝗲𝘅𝘁𝘂𝗮𝗹 𝗨𝗻𝗱𝗲𝗿𝘀𝘁𝗮𝗻𝗱𝗶𝗻𝗴 — Can your AI 𝘳𝘦𝘮𝘦𝘮𝘣𝘦𝘳 𝘢𝘯𝘥 𝘳𝘦𝘧𝘦𝘳 to earlier inputs? ↳ 𝗦𝗰𝗮𝗹𝗮𝗯𝗶𝗹𝗶𝘁𝘆 — Can it handle volume 𝘸𝘪𝘵𝘩𝘰𝘶𝘵 degrading performance? ↳ 𝗞𝗻𝗼𝘄𝗹𝗲𝗱𝗴𝗲 𝗥𝗲𝘁𝗿𝗶𝗲𝘃𝗮𝗹 𝗘𝗳𝗳𝗶𝗰𝗶𝗲𝗻𝗰𝘆 — This is key for RAG-based agents. ↳ 𝗔𝗱𝗮𝗽𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗦𝗰𝗼𝗿𝗲 — Is your AI learning and improving over time? If you're building or managing AI agents — bookmark this. Whether it's a support bot, GenAI assistant, or a multi-agent system — these are the metrics that will shape real-world success. 𝗗𝗶𝗱 𝗜 𝗺𝗶𝘀𝘀 𝗮𝗻𝘆 𝗰𝗿𝗶𝘁𝗶𝗰𝗮𝗹 𝗼𝗻𝗲𝘀 𝘆𝗼𝘂 𝘂𝘀𝗲 𝗶𝗻 𝘆𝗼𝘂𝗿 𝗽𝗿𝗼𝗷𝗲𝗰𝘁𝘀? Let’s make this list even stronger — drop your thoughts 👇

Is ROAS the right metric for RMNs? Retail Media Networks (RMNs) have outgrown their early days when untapped demand meant every dollar spent was both high-ROAS and high-incrementality. Today, focusing solely on ROAS incentivizes behaviors that may appear efficient but harm long-term profitability and growth. Here’s how ROAS can be gamed—and why it’s problematic: 1️⃣ Over-spending on Retargeting or Brand Keywords. These tactics drive high ROAS but focus on customers who were likely to convert anyway, resulting in low incremental growth. 2️⃣ Discount-Driven Sales. Discounting boosts ROAS by generating short-term revenue but lowers margins, attracts low-LTV customers, and conditions buyers to expect promotions. 3️⃣ Cutting Spend on High-Incrementality Campaigns. Investing in new customer acquisition or brand building may have lower ROAS but drives long-term growth and quality customer cohorts. These behaviors lead to: ⛔️ Shrinking new customer cohorts. ⛔️ Increased reliance on discounts, reducing margins. ⛔️ Lower customer lifetime value (LTV) and diminished profitability over time. In essence, chasing ROAS at all costs leads to slower growth and declining margins—a losing combination for any business. Efficiency metrics like ROAS are necessary but must be balanced with an effectiveness metric that focuses on long-term outcomes. For example: ✅ 180-Day Contribution LTV: Measure the total revenue contribution from full-price customers acquired over six months. ✅ Incremental Revenue from Non-Brand Keywords: Track revenue generated from truly new demand sources. ROAS is an excellent efficiency metric but a poor north star. Striking the right balance between efficiency and effectiveness will ensure your business scales sustainably while maintaining margins. Keen to hear what other metrics are used for RMNs #advertising #media #tech

The Ultimate Board Meeting Pack Checklist I've sat through countless board meetings in my career working with fast growing companies... and if there's one thing I've learned, your board deck serves a critical purpose - empowering your board to understand your company's financial health, performance, and direction. So what makes a great board pack? Let me break it down for you 👇 ➡️ EXECUTIVE SUMMARY Your exec summary needs to pack a punch with just one page. I always include: -A snapshot of company performance with key wins -Any concerns that need immediate attention -Strategic updates in bullet-point format -High-level financial highlights No fluff, just what matters most. Board members should get the full picture in under 30 seconds. ➡️ FINANCIAL OVERVIEW This is where the numbers tell their story: -P&L Summary showing actuals vs budget/forecast (MTD, QTD, YTD) -Cash position with current balance, burn rate, runway -Balance sheet highlights focusing on key shifts in assets/liabilities When I present these, I always color-code variances so problems jump off the page. ➡️ VARIANCE ANALYSIS Don't just show the numbers, explain them: Focus on top 3-5 significant deviations from budget -Get to the root causes behind variances -Include action items to address issues -Use visuals like bar charts to highlight the biggest gaps My favorite approach? Waterfall charts that show the journey from forecast to actual. ➡️ OPERATIONAL METRICS Numbers beyond the financials matter just as much: -Customer metrics (growth, churn, retention, NRR/GRR) -Sales pipeline and conversion stats -Product/feature engagement for tech companies I like to show 6-month trends for these metrics so the board can spot patterns, not just points. ➡️ STRATEGIC INITIATIVES & ROADMAP The board wants to know where you're going: -Status updates on key projects or product launches -Hiring progress versus the plan -Strategic priorities for next quarter Use simple red/yellow/green indicators to show status at a glance. ➡️ RISKS & CHALLENGES Every company has risk. It's how you communicate & plan for that risks that makes all teh difference in the world -Outline key risks across financial, operational, legal areas -Share your mitigation plans for each -Be transparent - boards value this more than sugar-coating ➡️ ASK FROM THE BOARD Be crystal clear about what you need: -Funding requirements -Strategic advice needs -Hiring referrals -Feedback on potential pivots ➡️ APPENDIX Keep the meeting focused, but have backup: -Detailed financials (P&L, BS, CF) -Org chart with key hires highlighted -Detailed KPIs for those who want to dig deeper === That's my complete board pack checklist - but everyone does it differently. What's your approach to board packs? What sections do you find most valuable? Join the discussion in the comments below 👇

What Can You Do To Increase Your Win Rates? Ok a lot of these may seem basic to many of you. But here's my checklist, and I still bet you aren't doing all 8: 1️⃣ Identify Your Top 3 Feature Gaps -- And Just Start Closing Them Start by figuring out why you’re losing deals. Are there specific features or capabilities your competitors have that you don’t? Closing just one or two of those gaps can make a big difference in win rates. Talk to your sales team and customers to pinpoint these gaps. Force them each week to force rank the gaps. If you don't, you'll get an endless stream of requests. But everyone together can force rank the Top 3 feature gaps they want closed. 2️⃣ If You Have To, Just Improve Sales Leadership A great VP of Sales can increase close rates by 50% or more. If your win rates are low, it might be time to evaluate whether your sales leadership is strong enough. A great leader will coach the team, refine the pitch, and focus on the deals you can win. It really works. If your close rates haven't improved at all under your head of sales, be honest about why. 3️⃣ Be Hands-On During Trials Are you losing deals during pilots or bake-offs? If your competitors are more hands-on during this phase—getting on calls, flying out to meet customers, or customizing solutions—you’ll lose. Make sure your team is fully engaged during trials and showing customers why you’re the best choice. 4️⃣ Align Reps with the Right Deal Sizes If your reps are chasing deals that are too big or too small for their experience level, your win rates will suffer. Match your reps to the deal sizes they’re best equipped to handle. This simple adjustment can have a big impact. 5️⃣ Train on FUD and Competitive Advantages Most sales teams aren’t great at handling Fear, Uncertainty, and Doubt (FUD) or articulating competitive advantages. Invest in training your team to address objections and position your product as the best solution. This is especially critical if you’re in a competitive market. 6️⃣ Focus Marketing on Winning Segments Look at where you’re already winning and double down. If you’re closing deals in a specific segment or vertical, focus your marketing and sales efforts there. It’s easier to win where you already have traction. 7️⃣ Set Incremental Goals Don’t try to go from a 7% win rate to 70% overnight. Focus on small, achievable improvements—like getting to 10% first. Even a small increase in win rates can have a massive impact on revenue. For example, going from 10% to 15% can drive 50% more growth. 8️⃣ Really Leverage Customer Success Stories Use case studies and testimonials from your happiest customers to build credibility and trust. Prospects want to see proof that you’ve solved similar problems for others. 8️⃣ Review Lost Deals Religiously Every lost deal is a learning opportunity. Conduct post-mortems to understand why you lost and what you could have done differently. Look for patterns and adjust your approach accordingly.

Let’s normalise lead generation without templates. Most people chase shortcuts. They send thousands of connection requests. Copy-paste the same message. Wait for a few replies. Yes, some people respond. Fewer agree to talk. Even fewer ever convert. That’s not a system. That’s a numbers game. And numbers games burn trust. Real lead generation works differently. It’s slower. More intentional. And far more predictable. Instead of asking: “How many messages can I send today?” Ask: “Who do I genuinely want to build a relationship with?” Outreach should never be random. And it should never sound templated. Because people don’t respond to scripts. They respond to context. When your outreach shows: → you understand their business → you know where they’re stuck → you have a relevant perspective Conversations happen naturally. Yes, it takes time. But it converts. Templates optimise for speed. Intent optimises for trust. And trust always wins. So if you want more clients, stop playing the volume game. Build connections. Start conversations. Lead with intention. That’s how real outreach works.

One metric to rule them all… While Annual Recurring Revenue (ARR) remains a key measurement of success, it’s crucial to assess the quality of that revenue. I was recently reviewing performance across companies and wanted to find benchmarks for performance. One blog that caught my eye was SaaS Capital’s 2025 benchmarks. They reveal that bootstrapped SaaS companies with $3M to $20M in ARR have a median Net Revenue Retention (NRR) of 104%, indicating the importance of sustainable revenue streams beyond acquisition based views. I like to prioritize looking at: • Customer Lifetime Value (CLTV): Ensuring long-term profitability. • Churn Analysis: Identifying and addressing reasons for customer attrition. • Product Adoption Metrics: Measuring how deeply customers engage with our solutions. • Customer satisfaction and advocacy: to understand what we do well and who we can leverage. For investors and CMOs alike, understanding the nuances of revenue quality is vital for sustainable growth. What are your go to metrics for revenue growth? Ps bonus points for guessing the movie inspired title! #SaaSmetrics #RevenueQuality #CMOInsights #PrivateEquity #movienerd

I bootstrapped Flowd from $0 to $4M ARR in just 4 years. These are the 5 key metrics I obsess over: 👉 Customer LTV (Lifetime Value) If you have 2+ years worth of company data, you should have averages for your customer lifespan. Use this metric to generate a general CPA goal and steer your acquisition strategies accordingly. 𝗘𝘅𝗮𝗺𝗽𝗹𝗲: If your LTV is £50k, you might be willing to spend 10% of that on marketing to find a new customer. 👉 Revenue Per Head The best services are made up of great operators — you need a lean team of killers, not a bloated team of people coasting in their roles. More people = harder to control quality which ultimately leads to weaker performance. 👉 Churn Rate Very simple. Track how many clients have cancelled vs are active. Look at this metric quarterly or yearly — tracking it monthly will lead to too short-term decision making. 👉 Revenue Per Client You don’t want any clients making up more than 10% of your overall revenue. Putting all your eggs in one basket is a risky strategy and can quickly lead to cashflow issues if the client churns. 👉 Staff Retention In service-based businesses, clients pay for the way your people deliver the service. If it’s a constantly revolving door, clients get a poor experience that ultimately leads to higher churn. 𝗡𝗼𝘁𝗲: This also means you need to ensure you are hire people that can actually do the job - not everyone is going to be a good fit for the company. Hopefully the above is valuable to other people growing B2B businesses. I'm also curious to know. What other growth metrics you are tracking?

Ever wondered why despite immense potential, some SaaS companies struggle to scale and achieve profitability? I recently went deep into a compelling discussion that shed light on the vital role of business metrics in SaaS growth. One anecdote stood out: the story of Salsify, a company that enhanced its trajectory by relocating its European headquarters to Lisbon, symbolizing a strategic shift in optimizing operations. The central theme was crystal clear: "If you can't measure it, you cannot improve it." Accurate metrics are not just numbers; they shape strategies, align teams, and spark growth. But what's the secret formula? Key takeaways include: - The Rule of 40: A SaaS company's growth rate and profitability combined should exceed 40%. - Net New ARR: Monitor bookings via net new Annual Recurring Revenue (ARR), encompassing new customer ARR, expansion ARR from existing customers, and losses from churned customers. - Sales Funnel Efficiency: Deploy a holistic funnel that includes onboarding, retention, and expansion. - Sales Team Metrics: Productivity per salesperson and timely hiring are crucial to meet growth targets. - Customer Economics: Balance the Customer Acquisition Cost (CAC) against the Lifetime Value (LTV). Aim for an LTV to CAC ratio of 3:1 and recover CAC within 12-18 months. - Negative Churn: Expansion revenue should ideally outpace revenue losses from churned customers for sustainable growth. Metrics like these can transform a SaaS company from merely surviving to thriving. It's fascinating how strategic measurement and adjustment can turn potential into proven success. How do you leverage metrics to steer your SaaS business towards growth and profitability? Share your experiences and insights! #SaaSMetrics #GrowthStrategy #BusinessAnalytics #SaaS #CustomerRetention #StartupGrowth #ScaleYourBusiness

Can someone making £450K in revenue still struggle for profits? Recently, a marketing agency came to us frustrated and confused. 👉 They were making £450K a year, but profits weren’t reflecting the effort they were putting in. 👉 No matter how much they grew, profitability wasn’t improving. 👉 Cash flow felt tighter than it should be. The problem was that they were treating all revenue the same. When we dug into their accounts, we split their income into three core services: 1️⃣ Retainers (£250K revenue) – Reliable but low-margin work. 2️⃣ Project Work (£150K revenue) – Higher fees, but unpredictable. 3️⃣ Consulting (£50K revenue) – Time-intensive, but super profitable. Once we broke it down, the issues became obvious. Here’s what we found: ✅ Retainers were underpriced – Margins were just 30%, compared to 50%+ on other services. A small price increase would massively impact profit. ✅ Project work was eating up time – Tightening up processes could boost margins by 10% without extra effort. ✅ Consulting was a goldmine – It had 70% margins, but they weren’t selling it enough. So here’s what we changed: 📌 Increased retainer pricing by 10% – £25K extra annual revenue. 📌 Streamlined project delivery – Fixed inefficiencies to boost profit by £15K. 📌 Pushed consulting harder – More sales brought in £30K in high-margin revenue. 📌 Tweaked tax efficiencies – Saving them an extra £12K. Here’s the result: 💰 Net profit jumped from £90K to £110K → a 22% increase. 💰 More cash in the bank without working harder. Not all revenue is good revenue. Sometimes, the answer isn’t more work, it’s smarter work. Curious what’s hiding in your numbers? Drop me a DM.