Model your DTC unit economics from COGS through to LTV/CAC ratio. Know your numbers before you spend a penny on ads. Build the financial foundation the business needs to scale.
Most DTC brands start with a product and a social presence. The founders who build sustainable businesses start with unit economics. Not because the numbers are exciting — but because the numbers tell you whether the business can work before you spend six figures finding out it cannot.
The unit economics model calculates the relationship between what it costs to make a product, what it costs to acquire a customer, and what that customer is worth over their lifetime. When the LTV/CAC ratio is above 3:1 and the payback period is under 12 months, you have a business that can fund its own growth. Below that, you are subsidising growth with capital that may not be available forever.
The model includes scenario tabs for best case, base case, and downside. Run all three before you commit to a growth plan. The business that can survive the downside scenario is the business worth building.
The financial model Viable uses to evaluate every brand. Pre-built formulas, scenario tabs, and benchmark targets included. Enter your email and the download starts immediately.