LTV:CAC Ratio · Professional Services
LTV:CAC Ratio for Professional Services.
The single most important unit-economics metric.
Professional services scaled like product.
Finance & Strategy · Professional Services
Why professional services operators use the ltv:cac ratio.
Calculate the ratio of customer lifetime value to acquisition cost. Industry benchmark is 3:1 — below that, you're subsidizing growth; above 5:1, you're probably under-investing in acquisition.
Professional services firms — accounting, consulting, agencies, advisory — face a step-change opportunity with AI. SAZ helps firms productize services, build AI leverage, and scale the operating model.
Benchmarks
What good looks like — typical ranges to compare against.
< 1×
Losing money on every customer
1–3×
Recovering acquisition — but slow
3–5×
Healthy — keep scaling
> 5×
Likely under-investing in acquisition
The formula
How ltv:cac ratio is calculated.
LTV:CAC = Customer Lifetime Value ÷ Customer Acquisition CostIndustry context
What changes when ltv:cac ratio is applied to professional services.
Utilization, leverage, and margin
Productizing recurring services
BD and pipeline
Talent and capacity
Run the numbers
Open the ltv:cac ratio.
Free, instant, no signup.
LTV:CAC Ratio · Professional Services
Want a senior partner to interpret your results?
Email info@Sedighi.ca or call (604) 632-4959. A senior partner responds within one business day.
Responding to inquiries within 1 business day