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I'd prefer non-SaaS companies find a clearer way to represent it. I agree that that's how SaaS companies use it, and I think it makes sense in SaaS (where the
by tikkun 3y ago
I'd prefer non-SaaS companies find a clearer way to represent it.
I agree that that's how SaaS companies use it, and I think it makes sense in SaaS (where the gross margins are almost always 80%+). When someone uses a number aimed at 80%+ gross margin businesses for a business with significantly lower gross margins, then it'll mislead people.