Adlega Blog:
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SaaS Revenue Recognition Under ASC 606: The Five Steps, RPO and a Worked Contract
The five steps of ASC 606 applied to subscription software, plus RPO, commissions and IFRS 15. One two-year contract with a setup fee and a mid-year upsell is worked through until revenue, deferred revenue, billings and RPO all reconcile.…
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Venture Debt vs Revenue-Based Financing: A Neutral Cost Comparison for SaaS (vs Equity, Too)
Venture debt is a fixed-schedule term loan with warrants that usually follows an equity round. Revenue-based financing is repaid as a share of revenue up to a cap. Here is what each really costs, compared with equity on the same $2M need.…
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Credit-Based Pricing: Deferred Revenue, Breakage and Forecasting
Pricing guides cover how to design credits. This one covers what they do to the books: deferred revenue, ASC 606 breakage with worked numbers, the true-up that can sink a quarter, and why breakage flatters gross margin.…
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AI COGS: What AI Costs Do to Your SaaS Gross Margin
AI features move gross margin from a cost line you barely noticed to one that can decide whether the product makes money. Here is what AI COGS is, where margins actually sit in 2026, and how to model and protect yours.…
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Scenario Planning: How to Model Base, Best and Worst Cases
Scenario planning is running your model under several plausible futures, base, best, and worst, so you know how each one hits your runway. This guide shows how to build SaaS scenarios, how they differ from sensitivity analysis, and the mistakes to avoid.…
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Outcome-Based Pricing: How It Works (2026 Guide)
Outcome-based pricing bills for a result delivered, not seats or consumption. This guide covers how it works, the real AI-agent examples, why adoption jumped in 2026, and how to price on outcomes without exposing your margin.…
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Revenue Forecasting: Methods, Formulas & Examples
Revenue forecasting is estimating your future revenue from what you know today. This guide covers the five methods founders actually use, each with its formula and a worked example, and how to pick the right one for your stage.…
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Burn Multiple: The Capital-Efficiency Metric Investors Watch
The burn multiple = net burn ÷ net new ARR, how many dollars you burn to add a dollar of recurring revenue. Lower is better. Here's David Sacks' benchmark scale, 2026 benchmarks by stage, when to worry about yours, and why capital efficiency is what investors reward.…
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NRR vs GRR: The Two SaaS Retention Metrics, Explained
GRR measures the revenue you keep (it caps at 100%); NRR adds expansion (it can exceed 100%). GRR is the floor, how leaky the bucket is, and NRR tells you whether expansion refills it. Here are the formulas, 2026 benchmarks, and how to read them together.…
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SAFE vs Convertible Note: Which Should You Use?
A SAFE is a right to future equity with no interest or maturity date; a convertible note is debt that converts, charging interest and maturing in 18–24 months. Both defer valuation via a cap and/or discount. Here's how they differ, when to use each, and the stacking trap that catches founders.…
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Startup Term Sheet Explained: The Terms That Actually Matter
A term sheet is the non-binding outline of a funding deal, split between economics (who owns what and who gets paid first) and control (who decides what). Here are the terms that actually move the outcome for founders, and the red flags to catch before you sign.…
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SaaS Headcount Planning: Build a Hiring Plan That Protects Runway
Headcount planning is mapping who you'll hire, when, and what it costs, then checking the plan against your runway before you make offers. Here's how to do it with fully-loaded costs, when to make the key hires, and the mistakes that quietly burn cash.…