Unit Economics Calculator
Calculate LTV, CAC, payback, and LTV:CAC.
- Free
- No signup
- Runs in your browser
How to use Unit Economics Calculator
- Enter revenue per customer per month and your gross margin.
- Enter your monthly churn and your cost to acquire a customer (CAC).
- Read LTV, LTV:CAC, CAC payback, and average customer lifetime.
- Open Formulas to see exactly how each number is calculated.
Tip: A common rule of thumb is LTV:CAC of 3 or more and a payback under 12 months.
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$
LTV$493$24.65 × 20 mo
LTV : CAC4.1×
CAC payback4.9 mo
Average lifetime20 mo
Healthy: LTV is at least 3× CAC and CAC pays back within a year.
Formulas
- LTV = revenue × gross margin ÷ monthly churn
- Payback = CAC ÷ (revenue × gross margin)
- Average lifetime = 1 ÷ monthly churn
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