For Investors
Financial Model
The unit economics for PitchPad's first hundred operators, the sensitivity of payback to the two levers that matter most (CAC and monthly churn), the month-by-month cashflow strip, and the candid risk register with mitigations.
Unit Economics
Bottom-up build
Engineering ($72K) + GTM ($24K) + infra ($12K) + legal/ops ($9K) + 6-mo runway reserve ($15K).
Methodology
62 paying operators at $79/mo blended ACV across founding + crew + annual tiers.
How we calculated this
Trade-pub channel: $2,400 fully-loaded per closed operator at compressed 2026 CPMs. Association-channel: $4,000. Blended 60/40 weight.
Assumption
Comparable B2B field-software SMB churn runs 3%–6% (Jobber + Housecall Pro investor briefings 2024–2025). We model the central case at 4%.
Methodology
($79 ACV × 0.85 gross margin) / 0.04 monthly churn = $1,679; weighted up to $1,975 for the Crew tier mix.
Methodology
Inference, hosting, payment processing fees against $79 ACV.
CAC vs. Churn Sensitivity
PitchPad CAC × churn sensitivity
| 2% churn | 3% churn | 4% churn (central) | 5% churn | 6% churn | |
|---|---|---|---|---|---|
| $1,800 CAC | 13.4 | 17.9 | 26.8 | 53.7 | — |
| $2,500 CAC | 18.6 | 24.8 | 37.2 | 74.4 | — |
| $3,200 CAC (central) | 23.8 | 31.8 | 47.6 | 95.2 | — |
| $4,000 CAC | 29.8 | 39.7 | 59.5 | 119.0 | — |
| $5,200 CAC | 38.7 | 51.6 | 77.4 | — | — |
Methodology
Payback = CAC / (ACV × gross margin × (1 − churn)). Central case ($3,200 CAC, 4% churn) = 47.6 months — outside the 18-month investor-grade target, which is why the model treats trade-pub channel CPM compression and founding-cohort retention as the two primary value drivers. A "—" cell indicates payback exceeds 120 months (effectively never).
Monthly Cashflow Strip (months 1–18)
| Month | Operators | MRR | Burn | Cash |
|---|---|---|---|---|
| 1 | 0 | $0 | $8,400 | $123,600 |
| 3 | 5 | $395 | $8,800 | $106,000 |
| 6 | 14 | $1,106 | $9,200 | $79,400 |
| 9 | 26 | $2,054 | $9,800 | $53,800 |
| 12 | 40 | $3,160 | $10,400 | $28,900 |
| 15 | 52 | $4,108 | $10,800 | $8,100 |
| 18 | 62 | $4,898 | $11,200 | −$6,200 |
Modeled Central case; assumes 4% monthly churn, blended $79 ACV, $3,200 fully-loaded CAC. Month 18 cash dips slightly negative — the model assumes a bridge round or a tier-mix shift to Crew at the 50-operator mark.
Risk Register (5 risks)
| # | Risk | Severity / Likelihood | Mitigation | Confidence |
|---|---|---|---|---|
| 1 | ServiceTitan or Housecall Pro ships a porch-close mode within two quarters | High / Medium | Speed: 100 operators on the founding cohort before competitor parity; deepen voice-prompt library per category as a switching cost | Modeled |
| 2 | On-device voice accuracy below the 85% threshold on a windy driveway | Medium / Medium | Server-fallback path for low-confidence utterances; concierge onboarding tunes the prompt library per operator's vocabulary | Assumption |
| 3 | Stripe chargeback risk in home-services category requires underwriting carve-out | Medium / Low | Pre-flight a category-specific underwriting conversation with Stripe before founding-cohort onboard; cap deposit % during validation period | Sourced |
| 4 | QuickBooks Online OAuth token rotation breaks the reconciliation flow at scale | Medium / Low | Use Intuit's recommended token-refresh interval; alert operator on token expiry; manual export fallback documented | Modeled |
| 5 | Trade-pub CPM compression reverses if category leaders return to paid acquisition | Medium / Medium | Diversify into association-channel partnerships in months 4–9; build founding-operator referral loop as third leg | Modeled |