medium10 pts · first answer countspricingunit-economicssaas-metrics

A worrying gross margin

A company sells "SaaS", but its gross margin is 45% because every customer needs heavy manual setup and support. Why might investors value it lower than a typical SaaS company?

A.Each rupee of revenue leaves less to fund growth, closer to a services businessB.Gross margin has no effect on how investors value companiesC.A 45% gross margin is already higher than most SaaS companies ever achieveD.Investors value revenue only and never look at margins

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A worrying gross margin

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