Summary

• This document is to describe our financial milestones for Kaldea. Note that we are limiting the scope of the milestones described here to financials. There are many types of important milestones for a company but the purpose of this report is to give you visibility into company financials and our plans regarding it

Assumptions

Below, we will explain what kind of assumptions we have made to product our financial milestones and projections.

Segmenting ICPs

• Mainly we have 4 types of ICPs or you could say our ICP can be segmented into 4 measurable categories: SMB, funded startup, strategic startup, enterprise. The details can be found here: ‣

GTM start date

• GTM start date is when the first effective date of our contract falls into

  • The effective date is when the contract starts and also when our customer payment is due by

    As of 2022-06-08

• Common misconceptions of effective date

  • Start or finish of free-trial
  • Contract signed date

• For example, if we deliver a free-trial to a customer in 7/1 that ends in 7/30, the earliest effective date would be 8/1, given that the customer signs in between 7/1 - 7/30 and pays on 8/1. In B2B SaaS unless it is an SMB sales cycle, this is highly unlikely. Also, note that we have disregarded SMB segment in our GTM projections mainly due to operating cost and small check size

Customer count

• Customer count is expressed as how many effective contract start days fall within the given month. We may have more customers signed up for the month, but the model assumption is that cashflow matches customers, and thereby the effective date of the contract

Average deal size

• Though we do not have a clear pricing model today, we can still make assumptions of what the selling price will be. Instead of writing out pricing, what we did was assuming a certain average sales price (ASP) for each segment of customers and also based on the case where customers will negotiate our price downward
• It is important to note that pricing is a moving variable and it can drastically change our financials should we gain more confidence with our product performance

Payment cycle

• The payment cycle modeled out is annual upfront payment
• We’d like to add that this is a very difficult assumption to hold true as customers of all sizes will ask for monthly and quarterly payments. However, for the simplicity of our model we assumed annual upfront payments. In reality, unless we are willing to die on this hill, we will see monthly and quarterly payment cycles.
• When we mature as a product and company, we will definitely play this lever harder towards upfront payment for larger companies whilst offering monthly untied self-serve contracts

Investment/burn