We provided comprehensive data management and revenue metrics validation for our client, enabling them to consolidate data from multiple sources, streamline financial tracking, and support their Series A fundraising efforts.
The Challenge
Our client, a small startup in the artificial intelligence space, was gearing up for their Series A funding round. In preparation for these conversations, they needed to ensure their revenue metrics were in order.
As a startup, their CRM setup was not optimized and did not have a single source of truth for their revenue information. The information was spread out between spreadsheets, contract pdfs with inconsistent terms and multiple accounting systems. This disarray made it difficult to accurately calculate monthly and annual recurring revenue, track customer retention rates, and present reliable data to potential investors.
The Solution
Lean Layer stepped in to perform a detailed analysis and consolidation of our client's fragmented data systems. We normalized revenue data, handled various payment schedules, and set up a comprehensive tracking system. Our work included extracting data from PDF contracts, reconciling discrepancies, and structuring a robust data management process.
The Approach
The Approach
Learn more about our approach on how we solved this for our client below:
- System Audit and Data Extraction: Exported data from Stripe and QuickBooks, and reviewed individual contracts to understand payment schedules and contract terms.
- Data Normalization: Created a detailed sheet to separate and categorize recurring and non-recurring payments, then transforming all contracts to calculate MRR and ensure consistency in revenue tracking.
- Contract Reconciliation: Matched payments to contract terms, identified discrepancies, and worked with the client to resolve issues.
- Dashboard Creation: Developed dashboards to track monthly and quarterly revenue, customer churn, net and gross retention metrics.
The Impact
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Efficiency: Saved significant time in revenue tracking by consolidating data and automating revenue calculations.
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Revenue Accuracy: Enabled accurate monthly and annual recurring revenue calculations, supporting our client's Series A fundraising efforts.
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Enhanced Reporting: Improved visibility into customer retention rates, revenue trends, and financial performance.
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Confidence in Numbers: Gave our client confidence in their l metrics, crucial for preparing to raise their Series A.
Our comprehensive data consolidation and revenue metrics validation enabled our client to present accurate revenue data, supporting their fundraising efforts and providing insights into customer retention and revenue trends.
Request a free consultation to see how we can help you prepare for your next round of funding.
