A major change in your business model can make forecasting difficult, because the future will not be like the past. Since SimSaaS is designed for startups, it's now possible to incorporate these kind of pivot dates into your forecasting. Here's an example of a company that launched a freemium program in July 2018 (purple line). As you can see, the trend to the right of the "Now" (grey line) is showing a lot of uncertainty and a major correction because it doesn't understand the pivot.
Let's re-run the model taking the pivot into account. Notice how the trend adjusts? This means your forecasts will also reflect the change in business model.
Whether the launching of freemium programs, changes to go-to-market, or even changes in ownership, marking such an anchor (pivot) date can make all the difference in the insights you gain from a forward-looking view.
Anchor dates can be set under your Account Settings.
SimSaaS provides operational forecasting for founders by extending their KPI's and flowing those into a CFO-grade financial model. As a result, it's also a great place for investors to add value to their portfolio companies through zero-effort access to latest metrics and consistently-formatted (and comparable) forecasts for the startups they support.
This view is enabled through double-opt in request/approval. The time and effort saved on swapping files and basic data sharing is already being used by investors to help startups identify bottlenecks and patterns in their businesses -- areas of potential leverage. This mode also shows the founder assumptions that went into the forecast.
The investor mode in SimSaaS is still in private beta. If you'd be interested in joining the group, let us know by leaving a comment or connecting over our website chat!
One of the things a great CFO can do for you is estimate the value of your startup. A version of this guidance is now available through SimSaaS!
The Financial Forecast area now includes a "Valuations" tab, providing you with a time-based view of estimated changes in value over time, using three common methodologies: a venture capital valuation indicative of speculative future value, fair market value using a formula based on current revenue multiples, and seller discretionary earnings based on the present asset value of the business.
These methods will continue to be refined as we learn more about the ecosystem and improve our modeling.
To deliver on our vision of providing a continuous forecasting capability for SaaS, we know we need to enable you to connect your other operational tools, like payments, billing, accounting, and sales, to your forecasting engine. This was validated by consistent feedback and requests during the beta and 1-1 interviews.
In response to this need, we're excited to announce the first wave of planned integrations, beginning today and rolling out over the course of 2019.
As you can see, we're beginning with some extremely popular services to cover the most ground. However, if you don't see an integration you'd like, please drop us a line to let us know!
We may also announce a few surprise integrations along the way as we encounter new partnership opportunities. If you're a SaaS company that has a strong alignment with what we're doing, let's talk.
As of today, we are live internally with the first version of an API to retrieve forecast data and upgrade growth models and metrics in real-time.
While too early to be used externally (formats can and will change), this sets the stage to easily connect key points of data from products like Baremetrics, ProfitWell, Stripe, Chargebee, Xero, and QuickBooks, keeping the model that powers your forecasts up-to-date in real-time.
In the future, this can be used to build new products and enable clients to connect SimSaaS data to their own dashboards and BI tools.
If you're interested in API access to your forecast data, shoot us a note. We'd love your feedback as we develop the foundations!
The Financing section just got an upgrade for anyone considering alternatives to venture capital. Lighter Capital joins the list of supported structures, alongside indie.vc, Earnest Capital, and TinySeed.
Lighter Capital modeling is available in all free and paid plans.
NOTE: This structure and the output have not (yet) been reviewed by Lighter Capital. However, the terms have been implemented after a careful reading of their site and terms, and is based on samples of their structure provided by founders that have considered or are currently considering investment from the financier. If you have familiarity with Lighter Capital and would like to recommend changes or improvements, we'd love to hear from you via twitter, or email at email@example.com.