Jason Lemkin stated that B2B startups should collect at least 100% of MRR in cash each month, with an ideal target of 110%. According to SaaStr, falling below 100% signals a finance process failure and indicates runway may be shorter than expected. The advice applies until companies establish a strong VP of Finance or CFO role.
Most B2B startups struggle to collect cash outside payment gateways, with performance often declining as they move upmarket.