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Browse: Home / marginal operating costs

marginal operating costs

Basics of Unit Economics Analysis

Basics of Unit Economics Analysis

By Derek Pilling on January 22, 2014

When an investment passes our first-screen at Meritage Funds, the first deep-dive we typically do is on the unit economics of the business. Unit economics are the fundamental financial building blocks of a business. If you can pin down the unit economics, you can determine contribution margins, break-even points and perform ROI calculations all of which […]

Posted in Business | Tagged average customer lifetime, capital expenditures, churn, contribution margin, Economics, Growth Equity, Investment Selection, marginal operating costs, Raising Capital, unit economics

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