SaaS metrics

What is Payback Period?

Payback Period is how many months a customer takes to repay what it cost to acquire them — the shorter, the faster cash returns to reinvest.

Payback Period measures how long the gross margin from a customer takes to cover CAC. In B2B SaaS, 12 months is acceptable; under 6 months is excellent; above 18 months strains cash flow.

Combined with LTV/CAC it gives the full picture: LTV/CAC shows if the customer is worth it; payback shows how fast you can reinvest.

Formula

Payback (meses) = CAC ÷ (ARPU mensal × margem bruta)

Use it in practice

SaaS Simulator

Frequently asked questions

What payback is considered good?
Under 12 months is the healthy benchmark in B2B SaaS; consumer/PLG usually targets under 6.
Is a long payback always bad?
No, if LTV is much higher. But it requires more working capital: you finance the customer until they pay back.