Step 06 of 07 · Profits · free
Revenue Logic Sketch
From Purpose to Profits. Most early-stage business plans are projection decks dressed up as strategy — they answer “how big could this be?” without first answering the simpler question: does the math work for one customer?
Instructions: Enter five numbers about one average customer — what they pay you a month, what they cost you a month, what it costs to acquire them, how long they stay, and your monthly fixed costs. The compass derives the rest and reads the LTV/CAC ratio. Read the verdict, and save the sketch as a PDF. This is a sketch, not a forecast — it answers one question: does the math work for one customer?
Already mid-flight? You can run this compass on its own — it doesn't need the earlier stages first. To follow the full sequence, start at Purpose.
The discipline
Unit logic, not a projection deck.
A revenue logic sketch isn't a forecast. It answers one question: does the math work for one customer?If the answer is no, growing faster doesn't fix it — it amplifies the loss. The five inputs below give you the contribution per customer, the lifetime value, the LTV/CAC ratio, the payback period, and the customers-per-month you need to clear fixed costs. None of it is precise — all of it is enough to spot whether the business model can survive paid acquisition.
The five inputs
Your profit read
The unit logic works.
LTV / CAC ratio
4.80
At an LTV/CAC of 4.80, each customer is worth at least three times what they cost to acquire. Paid acquisition can scale this business rather than drain it.
Re-run this as pricing, churn, and CAC change — the ratio that holds today is not guaranteed tomorrow.
Contribution / mo
$48.00
80%
LTV
$864.00
per customer
Payback
3.8 mo
to recover CAC
Break-even
167
customers / mo
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Founder worksheet
Revenue Logic Sketch
Does the math work for one customer?
Your profit read
The unit logic works.
At an LTV/CAC of 4.80, each customer is worth at least three times what they cost to acquire. Paid acquisition can scale this business rather than drain it.
Re-run this as pricing, churn, and CAC change — the ratio that holds today is not guaranteed tomorrow.
The inputs
- ARPU$60/mo
- Variable cost$12/mo
- CAC$180
- Lifetime18 mo
- Fixed costs$8000/mo
What the sketch derives
- Contribution / mo$48.00
- LTV$864.00
- LTV / CAC4.80
- Payback3.8 mo
- Break-even customers / mo167
The 7P Framework
Created by Dr. Özgür Zan — serial founder, investor, and lecturer. Twenty-five years and six startups across four countries, one successful exit, and products used by over 100M people. Author of Indispensable Fundamentals and Cesaret Ekonomisi; the 7P Framework is taught free in the e-book The Founder's Sequence.
7pframework.com · founderssequence.com · ozgurzan.com
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