David Cummings on Startups

With so many metrics out there, it’s easy for a startup to get bogged down looking for the elusive “perfect” KPIs to monitor. From a CEO perspective, I always like to focus on keeping it as simple as possible with no more than two high-level numbers for each department to report on weekly. Now, of course, there are many more metrics tracked behind-the-scenes, but a small number makes it easy to concentrate.

Here are seven ideas for startup metrics to track on a weekly basis:

  1. Annual recurring revenue — the current run rate of the business, which represents the health of the enterprise from a top-line, financial vantage point
  2. Lost recurring revenue — the amount of annual recurring revenue that churned in the previous week
  3. Weighted sales pipeline — the amount of new annual recurring revenue expected to be added in the next 30 days, weighted by likelihood of closing
  4. New marketing…

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