The Jirav Blog

 Tags: PRODUCT UPDATE

New: Direct Revenue Model

Jirav already lets you create pretty sophisticated bottom-up revenue models including products, custom revenue recognition, churn / upgrade / downgrade conversions, expansions, sales quotas etc. But sometimes we need to make simpler assumptions directly on revenue, especially for cash-based models and Jirav now lets you do that.

Direct Revenue Model

In the examples above:

  1. ROAS (Return on Ad Spend) assumes we get $20 in revenue for every $1 we spend on advertising.
  2. Organic Growth assumes our revenue grows by 10% every month
  3. Here we assume that 5% of subscription revenue also drives setup revenue
  4. Here we assume a 10% discount on all subscription revenue and track it as a negative contra revenue account.

With this, it becomes even faster to create a pretty sophisticated model right away. We can always re-factor these assumptions in the future and create a more sophisticated bottom-up build of this revenue without having to rewire anything else anywhere.

Use Direct Revenue

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