Internal · Revenue model · v0.4

ContractBuddy revenue forecast.

Updated to reflect the v0.7 pricing structure: Founding Member rates for the first 1,000 paying subscribers (or first 6 months, whichever lands first), standard rates for new acquisitions thereafter. Founding cohorts keep their locked-in rate for the life of their subscription. Adjust scenario and assumptions to stress-test the model.

Scenario
Conservative

Slow word of mouth, niche product still finding fit.

Light demand. Founders window stays open the full 6 months. Lower trial conversion. Higher churn.

Base

Steady growth, founders window closes at the 6-month mark.

Reasonable trial volume and conversion. Window closes on time. Mix of monthly and annual subscribers.

Aggressive

Strong product-market fit, founders window closes on subs cap.

Demand exceeds 1,000-sub cap before 6 months are up. Window closes early on subscriber count. Healthy annual mix.

Founders Window
Calculating...
MRR at Month 12
Monthly recurring revenue
ARR at Month 12
Annualised run rate
Subscribers M12
Active paying subscribers
Cumulative Y1 Revenue
Gross, before costs
36-month trajectory

Monthly breakdown — Year 1

Scroll → for full table. Highlighted row = founders window closes.
Month MicroSoloProAgencyTeams Total Subs Founding % Gross MRR Costs Net MRR Cum. Rev

Adjust assumptions

Sliders override scenario defaults. Reset by clicking a scenario button.

Month 1 trial starts
New users starting a 7-day free trial in Month 1. Grows by the rate below (taper applied over time).
Trial → paid conversion
% of trials converting to a paid plan. Card-on-file at trial start makes this higher than typical (industry: 40-60% for card-required trials).
Monthly subscriber churn
% of paying subscribers cancelling each month. SaaS B2B benchmark: 3-7%.
Initial growth rate (M1-6)
Monthly growth in new trials for M1-6. Tapers automatically: ~60% in M7-12, ~50% in M13-24, ~40% in M25-36.
Annual billing mix
% of new subscribers choosing annual billing (2 months free vs monthly). Industry norm: 20-40% early-stage, rising over time.
Founders cap (subscribers)
Subscriber count that triggers the end of Founding Member pricing. Default 1,000 per pricing sheet promise.

Tier mix and ARPU

Founding rates for Year 1 cohorts (locked in for life of subscription). Standard rates apply to new acquisitions once founders window closes. Annual billing = monthly × 10 (2 months free).

Tier Mix Share Founding £/mo Standard £/mo

Assumptions register

AssumptionValueBasisStatus
Tier pricing (Founding)£23.99 / £59.99 / £99.99 / £167.99 / bespoke (monthly); £19.99 / £49.99 / £83.99 / £139.99 (annual /mo)Pricing sheet v0.7, agreed 19 May 2026Evidenced
Tier pricing (Standard, post-Founders)£33.99 / £83.99 / £139.99 / £234.99 (monthly); £27.99 / £69.99 / £116.99 / £194.99 (annual /mo)Smoothed +40% on Founding, per v0.6 panel review (closer to Matt H's proposal but maintaining curve consistency)Placeholder
Founders window trigger1,000 paying subscribers OR 6 months, whichever firstPricing sheet v0.7 public promise. Cohorts acquired in window keep founding rate for life of subscription.Evidenced
Subscriber tier mix40% / 30% / 20% / 8% / 2%Updated for v0.7 pricing - Lite/Micro entry-tier weighting raised given lower founding price point; Teams remains small share given bespoke sales motionPlaceholder
Trial → paid conversionBase 40%Card-on-file at trial start raises baseline materially above ~20% no-card SaaS norms. Validated by Stripe / Profitwell benchmarks for card-required trials.Placeholder
Monthly subscriber churnBase 4%SaaS B2B niche product range 3-7%. Founding cohorts may churn less due to locked-in pricing incentive.Placeholder
Annual billing mixBase 30% of new subsSaaS norm early-stage 20-40%. Rises as product matures. Annual billing = 10 × monthly (2 months free).Placeholder
Teams tier delayNo Teams revenue before Month 4Bespoke sales motion, product proof required before close. Held from v0.3.1.Evidenced
Infrastructure cost£200/month baselineChampions Technical Review (Supabase + Azure + GPT-4 at 100 contracts/day)Evidenced
API cost per contract£0.08 averageChampions Technical Review (£0.06-0.09 range)Evidenced
Payment processing2.5% of revenueStripe standard UK rateEvidenced
Tooling (email, auth, misc)£50/monthClerk auth + email service + domain costsPlaceholder
Founder sales overhead£200/month proxyTime cost of founder-led outreach, demos, onboardingPlaceholder
Growth taperingInitial rate × 0.6 (M7-12) × 0.5 (M13-24) × 0.4 (M25-36)SaaS deceleration norm for niche products. Carried from v0.3.1.Placeholder

This forecast is an internal planning model (v0.4) and should not be treated as a financial projection or guarantee. All assumptions are illustrative - see Assumptions Register for evidenced vs placeholder status. Founding Member cohorts are modelled to retain locked-in pricing for the life of their subscription, per the pricing sheet v0.7 public promise. Standard rates apply only to new acquisitions after the founders window closes. PPC and Launch Promo mechanics from v0.3.1 have been removed (PPC discontinued in 19 May 2026 product decision; Founding Member pricing replaces the launch promo structure). Cost layer is lean and excludes headcount, office, legal, and marketing spend beyond founder effort. Teams tier revenue delayed to Month 4+. Figures exclude VAT. For internal discussion only.