In episode #337 of SaaS Metrics School, Ben breaks down why software revenue categorization is a foundational requirement for strong finance, accounting, and SaaS metrics. He explains the core revenue types every SaaS, AI, or software company should separate on their P&L—and why commingling revenue creates downstream issues in MRR tracking, retention metrics, forecasting, and company valuation.

Ben walks through the major recurring and non-recurring revenue categories, then shows how clean revenue segmentation enables accurate MRR schedules, retention analysis, cash flow forecasting, and smoother due diligence with investors and acquirers.

What You’ll Learn

Why It Matters

Resources Mentioned

Ben’s SaaS revenue hierarchy framework: https://www.thesaascfo.com/the-saas-revenue-hierarchy-why-defining-your-revenue-streams-matter/

SaaS Metrics course at The SaaS Academy: https://www.thesaasacademy.com/the-saas-metrics-foundation