Method and assumptions
Payback is a cash planning metric. It is sensitive to gross margin, discounts, expansion and the timing of acquisition spend.
CAC payback months = CAC ÷ monthly revenue per account ÷ gross margin.
Common questions
Does payback include retention?
The simple model assumes the account remains active during payback. Use cohort data for churn-adjusted payback.
Should implementation revenue be included?
Include it only when it is repeatable and directly attributable to the same acquisition cohort.
Independent planning calculator. Not financial, tax, legal or investment advice.