Finance

EBIT and EBITDA compared — what each measures, which one investors use for SaaS, and why one matters more than the other for bootstrapped founders.

Fixed costs vs variable costs explained for SaaS founders — with real examples from indie hacker tool stacks and a cost audit framework.

GRR vs NRR explained with formulas, a comparison table, and a clear answer to which metric matters more for bootstrapped SaaS founders.

Burn rate formula with steps — gross burn, net burn, and runway calculation. Worked example with real numbers for bootstrapped founders.

Net cash flow formula explained simply — with operating, investing, and financing components. Worked example for SaaS founders.

Profit and revenue are not the same. Here's the difference, why it matters for SaaS decision-making, and which one to optimize first.

Quick ratio (acid test ratio) explained for SaaS founders — formula, how it measures liquidity, benchmarks, and when to check it.

Revenue is what you bill. Income is what's left after expenses. Here's why SaaS founders confuse them — and which number to use when.

SaaS gross margin explained — formula, what's included in COGS, benchmarks, and how to improve it.

Operating income defined for SaaS founders — formula, difference from net income, and why investors ask about it.

Burn rate is how fast you spend cash. The formula, gross vs net burn, and how to calculate your exact runway in minutes.

Deferred revenue is money you've received but haven't earned yet. Learn why it matters for SaaS annual plans, how to calculate it, and why it's not MRR.

Audit your SaaS tool costs, identify waste, and reduce burn rate without breaking what works. Actionable checklist included.

The minimal SaaS financial model: 8 inputs, clean MRR logic, cost grouping, runway formula, scenario toggle, and a worked example.

Build a useful SaaS financial model with just 8 inputs. MRR forecasting, runway calculation, and scenario planning for founders.