Calculate your customer acquisition cost and compare it against customer lifetime value to assess your business health.
CAC Formula: Total Sales & Marketing Spend / Customers Acquired
LTV Formula: Monthly Revenue per Customer / Monthly Churn Rate
LTV:CAC Ratio: A ratio of 3:1 or higher is generally considered healthy for sustainable growth.
These calculations are estimates. Actual CAC and LTV may vary based on your business model and data accuracy.