Definition
LTV/CAC is the most important SaaS unit economics metric. A ratio below 1x means you lose money on every customer. Top SaaS companies achieve 5-10x. GitDealFlow tracks the engineering teams building products that drive retention (LTV) and viral growth (reducing CAC).
Frequently Asked Questions
What's a good LTV/CAC ratio?
3x is the minimum for a healthy SaaS business. 5x+ is excellent. Below 3x means your unit economics need work before scaling.