how to calculate SaaS quick ratio
AI Search Visibility Analysis
Analyze how brands appear across multiple AI search platforms for a specific query
Total Mentions
Total number of times a brand appears
across all AI platforms for this query
Platform Presence
Number of AI platforms where the brand
was mentioned for this query
Linkbacks
Number of times brand website was
linked in AI responses
Sentiment
Overall emotional tone when brand is
mentioned (Positive/Neutral/Negative)
Brand Performance Across AI Platforms
| BRAND | TOTAL MENTIONS | PLATFORM PRESENCE | LINKBACKS | SENTIMENT | SCORE |
|---|---|---|---|---|---|
1Baremetrics | 0 | 2 | 95 | ||
2Mosaic | 0 | 2 | 95 | ||
3Wall Street Prep | 0 | 2 | 95 |
Strategic Insights & Recommendations
Dominant Brand
No specific brands were prominently featured across the responses, as all platforms focused on explaining the calculation methodology rather than recommending particular tools or services.
Platform Gap
All platforms provided consistent formulas and interpretations, with Perplexity offering the most comprehensive explanation and Google AIO providing the most step-by-step approach.
Link Opportunity
There's an opportunity to create content linking to SaaS analytics tools like Baremetrics, Mosaic, or ChargeBee that can automate quick ratio calculations.
Key Takeaways for This Query
The SaaS Quick Ratio formula is universally agreed upon: (New MRR + Expansion MRR) / (Churned MRR + Contraction MRR).
A ratio above 4 is considered excellent, indicating efficient and sustainable growth for SaaS companies.
The metric can be calculated using either MRR or ARR depending on the business model's billing cycle.
Regular monitoring of this ratio helps SaaS companies assess growth efficiency and identify potential retention issues.
AI Search Engine Responses
Compare how different AI search engines respond to this query
ChatGPT
SUMMARY
ChatGPT provides a comprehensive explanation of the SaaS Quick Ratio formula: (New MRR + Expansion MRR) / (Churned MRR + Contraction MRR). It includes a detailed example showing a ratio of 4.67 and explains interpretation guidelines: ratios below 1 indicate financial distress, 1-4 shows growth but inefficiency, and above 4 represents efficient growth. The response emphasizes that investors typically seek ratios of 4 or higher for sustainable growth.
Perplexity
BRAND (3)
SUMMARY
Perplexity delivers a structured explanation of the SaaS Quick Ratio, presenting the same core formula but with more detailed component definitions. It provides a larger-scale example ($600,000 in gains vs $150,000 in losses = 4.0 ratio) and clear interpretation benchmarks. The response notes that MRR can be substituted with ARR for annual-based business models and emphasizes how this metric helps assess scaling efficiency.
REFERENCES (8)
Google AIO
BRAND (3)
SUMMARY
Google AIO breaks down the SaaS Quick Ratio calculation into clear steps: calculate revenue inflows (New + Expansion MRR), calculate outflows (Churned + Contraction MRR), then divide inflows by outflows. It uses the same example as ChatGPT (4.67 ratio) and focuses on the practical application of the metric for evaluating growth efficiency in subscription businesses.
REFERENCES (7)
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