Key performance indicators, or KPIs, have been around for decades as business jargon representing the metrics that matter most. Too often, I see startups measuring a ton of different things (which is good) and then making everything important (which isn’t good). The idea is to measure a bunch of stuff, but for the purposes of getting all team members on the same page, there should be a minimal number of KPIs that are shared and talked about regularly with the management team and company — the metrics that matter the most.
Here are some example KPIs that a startup should consider tracking on a weekly/bi-weekly/monthly basis:
- Cash on hand/runway in months
- Current annual recurring revenue (ARR)
- New ARR
- New customer churn ARR
- Current weighted sales pipeline
- New marketing qualified leads
- New sales qualified leads
- New clients implemented
- New bugs
- Current recruiting pipeline
KPIs are an important part of a startup and should be made as simple and effective as possible.
What else? What are some other key performance indicators you like to track?