By Brian Smith, Co-Founder and Managing Partner
KPIs aren’t just metrics, they’re indicators of direction. Tracking the right key performance indicators helps management understand whether strategy, operations, and capital are aligned toward sustainable growth.
What Makes a Model Investor-Ready?
While the right KPIs depend on industry and stage, most organizations benefit from monitoring:
- Revenue Growth and Gross Margin – Reflects operational strength.
- EBITDA and Cash Flow – Measures profitability and liquidity.
- Customer Retention and Acquisition Costs – Tracks market efficiency.
- Working Capital Efficiency – Monitors liquidity and balance sheet performance.
Why It Matters
Investors rely on models to assess risk, growth potential, and returns. Errors or unclear assumptions can undermine confidence and delay funding. A well-built model tells a consistent story between operations, accounting, and strategy.
How KPIs Improve Strategy
KPIs link performance data to decision-making. By visualizing trends, management can spot inefficiencies early, reallocate resources effectively, and reinforce accountability.
LCG’s Role
We help clients identify, design, and monitor KPIs that reflect the true health of the business. Our dashboards convert financial data into clarity, bridging finance, operations, and ownership.
Conclusion
KPIs turn numbers into insight. LCG helps businesses measure what matters to drive performance and value creation.