Revenue · Free Interactive Tool
LTV Calculator
What a customer is worth over their whole lifetime.
Your Numbers
The Result
The Operator's Read
Each customer is worth about $2,000. Lowering churn extends lifetime — it's the highest-leverage number in the formula.
Built by The Crimson Bench · Educational tool, not financial advice
About the LTV Calculator
Enter ARPU, gross margin, and monthly churn to estimate customer lifetime value — the ceiling on what you can profitably spend to acquire one.
How the LTV Calculator Works
3 inputs in, 2 results out — computed live on your device. Here's exactly what it uses.
| Input | Example value |
|---|---|
| Monthly revenue per user | $100 |
| Gross margin | 80% |
| Monthly churn | 4% |
Worked Example
Using the example inputs above, the tool returns:
Avg. lifetime
25.0 mo
LTV
$2,000
The Operator's Read
Each customer is worth about $2,000. Lowering churn extends lifetime — it's the highest-leverage number in the formula.
Assumptions & Limitations
- •This is a single-point calculator — it answers one question at a time. For a full time-based projection, use the matching Toolkit Pro simulator.
- •Defaults are illustrative. Replace them with your real numbers before relying on the result.
- •Educational tool only — not financial, investment, tax, or legal advice.
Frequently Asked Questions
What does the LTV Calculator calculate?
Enter ARPU, gross margin, and monthly churn to estimate customer lifetime value — the ceiling on what you can profitably spend to acquire one. It takes 3 inputs — Monthly revenue per user, Gross margin, Monthly churn — and returns Avg. lifetime, LTV.
How do I use the LTV Calculator?
Enter your figures in the fields above and the result updates instantly. No signup, no limits, and nothing leaves your browser — the math runs on your device.
Is the LTV Calculator free?
Yes, completely free. For the full time-based simulation — projection tables, scenarios, Excel/PDF export, and AI analysis — see the matching Toolkit Pro simulator.
Who built this tool?
The Crimson Bench's Ivy League-educated operators — the same people we deploy into C-suites. It uses the exact method they'd apply in an engagement.
Is this financial advice?
No. The LTV Calculator is an educational tool for directional planning — not financial, investment, tax, or legal advice.
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The Crimson Bench · Est. 2002 · Founded in New York City
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