Guides
Understand your SaaS economics
2 min read
How to calculate SaaS gross margin (with a worked example)
The SaaS gross margin formula, what belongs in COGS, a worked example with AI and cloud costs, and the mistakes that make margin look better than it is.
1 min read
What counts as COGS for a SaaS company?
A practical list of what belongs in SaaS cost of goods sold — hosting, AI APIs, payment fees, support — what doesn't, and how to treat staging, credits and tools.
1 min read
AI SaaS gross margins: what to expect and how to improve them
Why AI products often run lower gross margins than classic SaaS, which costs drive the gap, and practical levers — model mix, caching, pricing — to improve margin.
1 min read
How to price an AI SaaS product without losing money
Price AI features from cost per user and target margin: estimate inference cost, add payment fees, choose a margin, and protect yourself from heavy users.
1 min read
How to calculate LLM cost per user
Calculate LLM API cost per request and per user from tokens, model prices, caching and usage — with a worked example and the mistakes that underestimate cost.
1 min read
Stripe revenue vs MRR: why the numbers differ
Why your Stripe gross volume, net revenue and MRR never match, how refunds, tax, annual plans and discounts affect each, and which to use for gross margin.