To create revenue projections for a SaaS or subscription business, follow these steps: 1. Analyze your customer churn. Calculate your monthly churn rate to understand how many customers you're losing each month. Then, project how many customers you'll retain over time at your current churn rate. Lower churn means more recurring revenue. 2. Calculate your customer lifetime value (CLV). Determine how long the average customer stays with your service and how much revenue they generate over that time. Then, multiply the average customer lifespan by the average monthly revenue to get the CLV. This helps you forecast revenue from new customers. 3. Project new customer growth. Estimate how many new customers you'll add each month. This could be based on your current growth rate or marketing/sales plans to acquire more customers. More new customers means more revenue. 4. Factor in pricing changes. If you plan to increase or decrease pricing, account for the impact on revenue. Price increases will boost revenue but may reduce growth and retention. Price decreases can increase growth and retention but lower revenue per customer. 5. Account for seasonality. Some businesses see seasonal fluctuations in revenue. For example, a service for accountants may see higher revenue during tax season. Anticipate seasonal highs and lows and factor them into your projections. By analyzing these key metrics and factors, you can create data-driven revenue projections for a SaaS or subscription business. Of course, projections will vary based on how accurate your assumptions and data are, as well as changes in your business and market. So, it's important to regularly monitor metrics and update projections.