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SAZ
Finance & Strategy

CAC Payback Period

How fast you recover what you spent to win a customer.

Calculate the months required to recover customer acquisition cost. Critical for capital efficiency — anything over 18 months drains cash.

Inputs
Adjust to model your scenario
$650
$
$180
$
75%
%
Payback period
4.8 mo
Monthly gross profit per customer
$135
Formula
Payback = CAC ÷ (Monthly ARPU × Gross margin)
Benchmarks
< 6 moElite — scale aggressively
6–12 moHealthy SaaS benchmark
12–18 moAcceptable for sticky SaaS
> 18 moCash-intensive — diagnose
FAQ

How operators use this calculator.

Always use gross-margin-adjusted revenue. CAC is paid in real dollars, so payback must be in real margin dollars.
Need more than the math?

Get the SAZ team running this for your business.

Email info@Sedighi.ca or call (604) 632-4959. A senior partner responds within one business day.

Responding to inquiries within 1 business day