Software Sales Tips by Matt Wolach

Scale Your SaaS

Which Metrics to Track as a SaaS Business – with Jason Kruger


In this episode of Scale Your SaaS, I had the opportunity to delve into finance and accounting with Jason Kruger, President and Founder of Signature Analytics, who has made it his mission to help businesses achieve their financial goals. 

The discussion covered various aspects of business finance, from understanding critical metrics to weatherproofing your business for uncertain times. 

Let’s recap the insightful conversation and highlight the key takeaways that can benefit small business owners, especially those in the software industry. Read on!


Podcast: Scale Your SaaS with Matt Wolach

Episode: Episode No. 289, “Which Metrics to Track as a SaaS Business – with Jason Kruger”

Host: Matt Wolach, a B2B SaaS Sales Coach, Entrepreneur, and Investor

Guest: Jason Kruger, President and Founder of Signature Analytics


Understand the Unusual Business Climate

As we navigate these uncharted waters, software businesses have started to shift their focus from worrying about the economy to moving forward with renewed optimism and opportunity. 

SaaS companies are now looking for ways to harness their full potential. Jason’s advice revolves around helping business owners achieve their goals through improved visibility into their financial metrics and data.

Learn the Common Mistakes in Accounting and Analytics

In business, software founders need to learn how to address the mistakes that small business leaders often make regarding accounting and analytics. One common mistake is neglecting these aspects, especially the vital area of cash flow management. 

Financial planning, budgeting, and tracking are necessary for informed decision-making. Additionally, misalignment between team members and their roles can hinder a business’s growth. Validating the team’s suitability and contributions is crucial.

Prepare for Economic Downturns

As the world faces economic uncertainties, the discussion provides insights into how businesses can weatherproof themselves. The following strategies are essential:

  1. Cash Flow Management: Developing a plan to handle cash flow in different scenarios is crucial, whether through debt, equity, or personal funding.
  2. Scenario Planning: Preparing for various economic scenarios and adapting as needed is vital.
  3. Team Validation: Continuously evaluate your team to ensure they align with your business’s goals and direction.
  4. Real Estate Flexibility: Assess whether retaining physical office locations or remote work is more cost-effective.
  5. SG&A Cost Evaluation: Review all operational costs, including technology expenses, to ensure you are getting value from each investment.
  6. Maximizing Profitability and Margin: Continuously look for ways to optimize profitability and margin, especially in the software industry.


The Vision Behind the Company

The conversation then takes a deeper dive into the origins of Signature Analytics. Jason shares his journey from a decade in public accounting, working with various companies, including those in the SaaS industry. It became apparent that many small and mid-market companies needed more financial expertise and underestimated the value of accounting and finance. 

This realization led to the birth of his company, Signature Analytics, which aimed to provide top-tier financial services to businesses in a scalable and cost-effective way. The company’s mission is to shift the mindset of business owners, turning accounting and finance from a necessary evil into a value driver in their operations.

Key Metrics for Success in Software Businesses

In the SaaS industry, where margins are typically high, different metrics come into play:

  1. Recurring Revenue: Understanding your monthly and annual recurring revenue is crucial. It provides a solid foundation for future growth.
  2. Churn Rate: Minimizing customer churn is essential. Analyzing industry benchmarks and making efforts to retain customers is vital.
  3. Service vs. Software Value: Distinguishing between service and software value is critical. Investors primarily evaluate the software component’s value.
  4. Burn Rate: Managing expenses, especially in the early stages of a software business, is essential. Ensuring that you can reach the break-even point from a cash flow perspective is a priority.
  5. Customer Acquisition Cost: Evaluating the return on investment from your sales and marketing expenses is crucial. Ensuring that the value gained is greater than the cost is a key consideration.

Advice for New Software Founders

In conclusion, it’s essential to have a comprehensive understanding of all aspects of your software business, not just your core product or service. Familiarize yourself with sales and marketing, finance, and operations. This knowledge will help you make informed decisions and lead your team effectively.

Jason sheds light on the critical role of finance and accounting in business success, especially for software companies. He emphasizes the importance of understanding key metrics, avoiding common financial mistakes, and preparing for economic uncertainties. New business founders can benefit from this wealth of knowledge to build a solid financial foundation for their ventures.


Jason Kruger

[5:11] “Companies have decided to stop worrying about the economy and just start moving forward. So we’re seeing a lot of opportunity. A lot of excitement from that perspective.”

[14:43] “Business owners often look at accounting and finance as a necessary evil, but they don’t have the sophistication or the right team in place to truly drive value and take that from a necessary evil to a value driver in their business.”

Matt Wolach

[18:59] “It’s critical that you start to become as knowledgeable as you can about sales and marketing, knowledgeable about financials, and knowledgeable about the operational side of your business.”

[19:03] “New business founders should have a comprehensive understanding of all aspects of their business, not just their core product or service. Familiarize yourself with sales and marketing, finance, and operations.”


To learn more about Signature Analytics, visit: 

You can also find Jason Kruger on LinkedIn: 

For more about how host Matt Wolach helps software companies achieve maximum growth, visit