Free Calculator

Customer Acquisition Cost Calculator

Calculate your CAC, customer LTV, LTV:CAC ratio, and CAC payback period in real time. Built for B2B service businesses evaluating growth investment.

Your Inputs

Monthly Marketing Spend ($)

Monthly Sales Team Cost ($)

New Customers per Month

Average Monthly Revenue per Customer ($)

Average Customer Retention (months)

Gross Margin (%)

Total CAC Spend / mo$15,000

Customer Acquisition Cost$600

Customer Lifetime Value$39,600

LTV : CAC Ratio66.00 : 1

CAC Payback Period0.3 mo

Healthy B2B service businesses run LTV:CAC ratios of 3:1 or higher and CAC payback under 18 months. Below those thresholds, unit economics are tight.

LTV:CAC of 3:1 or higher means your unit economics work. Reinvest in growth.
LTV:CAC between 2:1 and 3:1 means margins are tight. Focus on either lifting LTV (retention, upsell) or cutting CAC (conversion optimization, better targeting).
LTV:CAC below 2:1 means you are paying close to what each customer is worth. Stop scaling spend until you fix the economics.
CAC payback under 12 months is excellent. Cash flow recovers fast and you can compound growth.
CAC payback above 24 months creates cash flow strain unless you have outside funding.