SaaS businesses face significant losses in the early years (and often an associated cash flow problem)

For Entrepreneurs.com
Growth Strategy🕑 Reading Time: 0 Minutes

This is because they have to invest heavily upfront to acquire the customer, but recover the profits from that investment over a long period of time. The faster the business decides to grow, the worse the losses become. Many investors/board members have a problem understanding this, and want to hit the brakes at precisely the moment when they should be hitting the accelerator.

In many SaaS businesses, this also translates into a cash flow problem, as they may only be able to get the customer to pay them month by month.

What Is A Fractional CMO
B2B SaaS Growth Strategy Startups

Discover the benefits of hiring a Fractional CMO for your SaaS tech company. Learn how this flexible, high-level marketing executive can provide strategic leadership without the long-term commitment and costs of a full-time CMO.

🕑 Reading Time: 20 Minutes