{ "docId": "019f6b8f-703a-73b2-9ce7-4c20d37b9d2c", "docSlug": "jarvis-the-ultimate-guide-to-arr", "documentTitle": "The Ultimate Guide To ARR", "authorId": "the-ultimate-guide-to-arr", "authorName": null, "documentKindSlug": "deck", "documentKindLabel": "Deck", "sourceTypeSlug": "investor_relations", "sourceTypeLabel": "Investor relations", "presentationDate": null, "orientation": null, "aspectRatio": null, "pageNumber": 34, "pageCount": 72, "prevPage": 33, "nextPage": 35, "slideType": "other", "function": "present_framework", "density": "overcrowded", "nDataPoints": 0, "notes": "The slide provides operational best practices for SaaS metrics reporting.", "elementsJson": null, "metadataConfidence": 0.9, "imagePath": null, "slideHref": "/slides/019f6b8f-703a-73b2-9ce7-4c20d37b9d2c/34", "deckHref": "/decks/019f6b8f-703a-73b2-9ce7-4c20d37b9d2c", "deckJsonHref": "/decks/019f6b8f-703a-73b2-9ce7-4c20d37b9d2c.json", "deckAnchorHref": "/decks/019f6b8f-703a-73b2-9ce7-4c20d37b9d2c#slide-34", "components": [ { "bbox": { "h": 0.152, "w": 0.662, "x": 0.169, "y": 0.415 }, "kind": "paragraph", "text": "What we recommend: The answer depends on your go-to-market motion. For companies with a PLG or Self-serve motion, it's better not to count a customer as Gross New until their first invoice is paid. This will mitigate inflating Gross New and reduce immediate Churn from customers where money was never exchanged. This is less relevant for companies with a Sales-led motion, as customers have clearly demonstrated intent to pay when a contract is signed.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "214090fa-9777-416d-afb5-d7304676c19e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.076, "w": 0.662, "x": 0.169, "y": 0.836 }, "kind": "paragraph", "text": "What we recommend: You'll hear many opinions on this topic, but we advise aligning the ARR recognition to the subscription start date. Doing so will inevitably create a dissonance between your Sales Bookings and", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3189abfb-7fb0-41ef-b4ad-e594feba2961", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.114, "w": 0.662, "x": 0.169, "y": 0.682 }, "kind": "paragraph", "text": "What to consider: If customers must sign a contract before they can use your product, should you start counting them as customers on the signature or contract start date? What if the two dates fall into different reporting periods? It's common for many deals to close on the last day of the quarter, but the contractual relationship begins in the following month.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "7e66a446-0320-407f-a388-a6938f4a8d41", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.076, "w": 0.662, "x": 0.169, "y": 0.198 }, "kind": "paragraph", "text": "What we recommend: To reduce noise in your reporting and align to the moment where a customer has skin in the game, we suggest recording the revenue once the trial expires and the paid portion of the subscription starts.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a4bbbd91-8325-4716-838f-ff682a493330", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.038, "w": 0.662, "x": 0.169, "y": 0.136 }, "kind": "paragraph", "text": "What to consider: If you offer a trial, do you wait until the trial expires or start counting at signup?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c0357d2a-da32-454b-905a-341d96fc215d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.038, "w": 0.662, "x": 0.169, "y": 0.353 }, "kind": "paragraph", "text": "What to consider: Is getting to trial end and subscription start date enough, or should you wait until an invoice has been paid?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ee5f15ce-bf6f-498e-839f-3beee3862508", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.016, "w": 0.135, "x": 0.169, "y": 0.311 }, "kind": "title", "text": "PAYMENT STATUS", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "686e355b-6a89-463a-a829-056f4d7d7fa7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.016, "w": 0.125, "x": 0.169, "y": 0.092 }, "kind": "title", "text": "TRIAL PERIODS", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ec3d8869-d545-4e4b-971c-3243836c3316", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.016, "w": 0.285, "x": 0.169, "y": 0.64 }, "kind": "title", "text": "CONTRACT START VS. BOOKING DATE", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "fbd946ae-da4e-4429-8ab7-a302420bf9e9", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [], "loops": [ { "to": 72, "from": 10, "name": "Logic Chain", "slug": "01-logic-chain", "bestFor": "Skeptical audiences, controversial recommendations, rigorous analysis", "matchId": "e8faec0b-9f7e-48c0-9872-9bc2ef4cc4c5", "evidence": "The document presents a logical sequence of information, starting with the components of ARR and building up to benchmarking.", "position": 0, "objective": "To understand the components of ARR and how they relate to each other.", "structure": "Premise 1 (Accepted truth) -> Premise 2 (Observed fact) -> Therefore... (Inevitable conclusion)", "confidence": 0.6, "description": "Build an airtight chain of logic where each premise leads inevitably to the conclusion" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }