Dynamic headcount model.xlsx

	B	C	D	E	F	G	H	I	J	K	L	M	N	O	P	Q	R	S	T	U	V	W	X	Y	Z	AA
1								This Year				Next Year
2	Ratios			Revenue Targets				Month	Multiplier	Monthly Revenue		Month	Multiplier	Monthly Revenue
3	Sales quota / year	$ 1,000,000		This year's starting ARR		$30,000,000		January	1.00	$ 1,256,508		January	1.00	$ 2,213,527
4	Account Executive : Sales Development Rep	1		This year's EOY target		$50,000,000		February	1.05	$ 1,319,334		February	1.03	$ 2,279,933
5	ACV (average contract value)	$ 100,000		This year's new ARR		$20,000,000		March	1.10	$ 1,385,300		March	1.06	$ 2,348,331
6	Sales : Marketing	3		% growth MoM		105%		April	1.16	$ 1,454,565		April	1.09	$ 2,418,781
7	Sales & Marketing : R&D	1						May	1.22	$ 1,527,294		May	1.13	$ 2,491,344
8	Total accounts / Account Manager	20		Next year's % growth MoM		103%		June	1.28	$ 1,603,658		June	1.16	$ 2,566,085
9	G&A % (exec, people, strat, ops, finance)	15%		Next year's EOY target		$81,414,442		July	1.34	$ 1,683,841		July	1.19	$ 2,643,067
10								August	1.41	$ 1,768,033		August	1.23	$ 2,722,359
11	* Blue numbers are inputs; black cells are formulas							September	1.48	$ 1,856,435		September	1.27	$ 2,804,030
12								October	1.55	$ 1,949,257		October	1.30	$ 2,888,151
13	** You can add a lot more department-specific ratios to get more granular.							November	1.63	$ 2,046,719		November	1.34	$ 2,974,795
14	This is just meant to show a high-level model that can be customized to fit your org.							December	1.71	$ 2,149,055		December	1.38	$ 3,064,039
15
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17			Jan-17	Feb-17	Mar-17	Apr-17	May-17	Jun-17	Jul-17	Aug-17	Sep-17	Oct-17	Nov-17	Dec-17	Jan-18	Feb-18	Mar-18	Apr-18	May-18	Jun-18	Jul-18	Aug-18	Sep-18	Oct-18	Nov-18	Dec-18
18	Total ARR (end of month)		$ 31,256,508	$ 32,575,842	$ 33,961,142	$ 35,415,707	$ 36,943,001	$ 38,546,659	$ 40,230,500	$ 41,998,534	$ 43,854,968	$ 45,804,225	$ 47,850,945	$ 50,000,000	$ 52,213,527	$ 54,493,460	$ 56,841,791	$ 59,260,572	$ 61,751,916	$ 64,318,001	$ 66,961,068	$ 69,683,427	$ 72,487,457	$ 75,375,607	$ 78,350,403	$ 81,414,442
19	New ARR		$ 1,256,508	$ 1,319,334	$ 1,385,300	$ 1,454,565	$ 1,527,294	$ 1,603,658	$ 1,683,841	$ 1,768,033	$ 1,856,435	$ 1,949,257	$ 2,046,719	$ 2,149,055	$ 2,213,527	$ 2,279,933	$ 2,348,331	$ 2,418,781	$ 2,491,344	$ 2,566,085	$ 2,643,067	$ 2,722,359	$ 2,804,030	$ 2,888,151	$ 2,974,795	$ 3,064,039
20	Estimated total customers		313	326	340	354	369	385	402	420	439	458	479	500	522	545	568	593	618	643	670	697	725	754	784	814
21
22	Total headcount		136	144	151	158	166	172	180	187	195	202	211	215	222	230	234	243	250	258	266
23
24	Team	Ramp (in months)
25	Account Executives	4	20	21	22	23	24	25	26	27	28	29	30	30	31	32	33	34	35	36	37
26	Sales Development Rep	2	17	18	19	20	21	22	23	24	25	26	27	28	29	30	30	31	32	33	34
27	Marketing		12	13	14	14	15	16	16	17	18	18	19	19	20	21	21	22	22	23	24
28	R&D		49	52	55	57	60	63	65	68	71	73	76	77	80	83	84	87	89	92	95
29	Account Managers	2	17	18	19	20	21	21	22	23	24	25	27	28	29	30	31	33	34	35	37
30	G&A		20	22	23	24	25	26	27	28	29	30	32	32	33	34	35	36	38	39	40
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33	Hiring needs
34	Net new hires		7	7	7	7	6	7	7	7	7	9	4	7	7	4	9	7	7	9
35	Backfills based on 20% yearly attrition		3	4	4	4	4	4	4	4	4	4	4	4	5	5	5	5	5	5
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37	Total new hires		10	11	11	11	10	11	11	11	11	13	8	11	12	9	14	12	12	14
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