Page 53 - Futr Investment Proposal

53
Revenue Sensitivity

A significant year on year sensitivity is required

Revenue is exceptionally high so we have
reduced Marketing based revenue by Revenue Sensitivity
75% and Public/Enterprise revenue by
50%. This has reduced revenue by c. 70,000,000
£90m over the life of the model.

Revenue Vs Benchmark 60,000,000
When top SaaS businesses begin to sell
their product they will look to achieve a 50,000,000
3x on the total revenue in both years 2 &
3 (providing year 1 was a full 12 months
of selling). 40,000,000

Futr has not had a full year of selling and 30,000,000
therefore applying 3x to year 2 would be
too low. They are also rolling their
products out in a phased way meaning 20,000,000
revenue will gain momentum so 3x is year
3 could also be considered to be too low.
10,000,000
We have therefore reduced revenue to a
growth rate of around 4.5x for years 2 & 3 -
which feels achievable but is still a strong 2020 2021 2022 2023
target for the business to achieve.
Original Revenue Sensitised Revenue