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Think of the SaaS CLTV/CAC ratio as a measurement of the return on investment in customers. It tells us if the value of a customer is higher than the cost of acquiring them, indicating a successful business.

Think of the SaaS LTV/CAC ratio as a balance scale, with the revenue side (LTV) and cost side (CAC) used to capture a customer. If the scae is balanced, the growth of the SaaS company is expected to be stable.