Question: A technology start-up with recurring SaaS sales has a customer retention rate of R% YoY, a monthly net flow of dollars per customer (costed), a

A technology start-up with recurring SaaS sales has a customer retention rate of R% YoY, a monthly net flow of dollars per customer (costed), a customer acquisition cost of dollars, and a discount rate of 25 %. The other company has annual fixed costs of dollars, which are not associated with customers. The idea is to have clients in the year 2025 (2a) How much would you value the company?
Explain the business case that would justify investing? The numerical values of R,X,Y,F for you. Are :
R= 70%
X=600
Y= 10,000
F= 1,000,000
N2025= 5000
r.=25%
The values are different. Make calculations explaining step by step.

How much you would be willing to pay to raise the customer retention rate by 1 percentage point.

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