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Scale Studio Benchmarks

$25M - $50M ARR

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Getting started

Reference�Templates:

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If you have questions about Scale Studio, the Four Vital Signs framework, or just want a more detailed analysis and interpretation of your Vital Signs, contact us at scalestudio@scalevp.com

Notes on Metrics and Calculations

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	Metric	Calculation	Comments
Growth	iCAGR		The Growth Rate Mirage
	Net New ARR Growth
	YoY Actual ARR Growth

Efficiency	Gross Sales Efficiency		A Primer on SaaS Sales Efficiency
	Net Sales Efficiency
	Magic Number		Magic Number Math A History of the Magic Number

Churn	Annualized Gross Churn		Note: We are currently reconciling differences in convention of signs. Going forward, we will be representing Gross Annualized Churn as a NEGATIVE number as a matter of convention.
Churn	Annualized Net Retention

Burn	Y/Y Rev Growth		While typically used in growth metrics, we’ve put this into the burn category to support the calculation of the Rule of 40.
	Op Margin (% Rev)
	Rule of 40		A Quick Primer on the Rule of 40

Reference Benchmark Templates

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Four Vital Signs: Your Data In Context

Reference Benchmark Templates

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Reference Benchmarks: $25M - $50M ARR

Current Quarter Benchmarks $25M - $50M	Growth				Efficiency			Churn		Burn
Current Quarter Benchmarks $25M - $50M	Y/Y Actual Ending ARR Growth	Net New ARR Growth	iCAGR	Y/Y Forward Ending ARR Growth	Gross Sales Efficiency	Net Sales Efficiency	Magic�Number	Annualized Gross Churn	Annualized �Net Retention	Operating Margin	Y/Y Revenue Growth	Rule of 40
You	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%

Top Decile	> 101%	> 160%	> 82%	> 71%	> 2.3	> 2.0	> 2.3	> (4%)	> 162%	> (8%)	> 104%	> 53%
Top Quartile	> 80%	> 79%	> 67%	> 59%	> 1.3	> 1.1	> 1.2	> (9%)	> 127%	> (25%)	> 77%	> 30%
2nd Quartile	56% - 80%	23% - 79%	42% - 67%	45% - 59%	0.9 - 1.3	0.7 - 1.1	0.7 - 1.2	(18%) - (9%)	106% - 127%	(41%) - (25%)	58% - 77%	7% - 30%
3rd Quartile	37% - 56%	(15%) - 23%	28% - 42%	29% - 45%	0.6 - 0.9	0.4 - 0.7	0.4 - 0.7	(34%) - (18%)	95% - 106%	(67%) - (41%)	39% - 58%	(14%) - 7%
4th Quartile	< 37%	< (15%)	< 28%	< 29%	< 0.6	< 0.4	< 0.4	< (34%)	< 95%	< (67%)	< 39%	< (14%)

n: Data Points	155	155	164	136	1553	1813	3256	1432	1433	246	205	206

Your data here

OpEx Ratios: Your Data In Context

Reference Benchmark Templates

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Current Quarter Benchmarks $25M - $50M	OpEx
Current Quarter Benchmarks $25M - $50M	Gross Margin	S&M / Revenue	R&D / Revenue	G&A / Revenue	S&M / OpEx	R&D / OpEx	G&A / OpEx
You	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%	[ ]%

Top Decile	> 83%	> 92%	> 53%	> 38%	> 65%	> 38%	> 27%
Top Quartile	> 77%	> 75%	> 40%	> 27%	> 60%	> 34%	> 24%
2nd Quartile	68% - 77%	57% - 75%	30% - 40%	20% - 27%	53% - 60%	28% - 34%	19% - 24%
3rd Quartile	61% - 68%	45% - 57%	22% - 30%	15% - 20%	47% - 53%	23% - 28%	14% - 19%
4th Quartile	< 61%	< 45%	< 22%	< 15%	< 47%	< 23%	< 14%

n: Data Points	246	244	239	239	244	239	239

Reference Benchmarks: $25M - $50M ARR

Your data here