Levellr is growing lightning fast which made forecasting the next few years of their journey a fun and exciting experience. There were several unique features that we build into the Levellr model including investment analysis and a sales team hiring schedule.

For the investment analysis feature we included historic rounds as well as future rounds with the predicted company valuation at each stage. We then added a potential exit date which enabled us to calculate dilution at each round as well as IRR and MOIC for each round’s investors - a useful tool for showing potential investors the value of investing early.

For the sales team hiring schedule we worked backwards from target revenue: Hitting a revenue target at a certain date in the future means closing a certain number of deals at some point prior to that date. To close that many deals Levellr would need to hire enough sales people far enough in advance based on the sales ramp (how long it takes new sales hires to train and start closing deals). To have hired that many sales people they’d have needed to have enough HR staff in place as well as office space and laptops. Making these hires and purchases and renting office space before any of these new sales reps start generating revenue requires having enough cash to plug the gap.

The cash flow and operational implications of hitting ambitious revenue targets are significant but the model will enable Levellr to better understand and plan for them.

Working with CEO and Founder, Tom Gayner, on this project at such an exciting time in Levellr’s journey was an awesome experience.