Service revenues are created when selling services (e.g. training, consulting, ..). They are typically driven by Sales Volume (e.g. companies sell services by person days or hours) and a Selling Price (e.g. a day rate or an hourly rate).

Learn how to

Create a Service Revenue Stream

Create a Service Revenue Stream by clicking the <+Add Revenue Stream> button and selecting the revenue model "Services (Customer Contract)" from the dropdown Revenue Stream Type. Lean-Case creates the Revenue Stream with a Service Revenue Template for the first Customer Type. Enter the description for your Service Revenue Stream in the Widget Header (e.g. Consulting Service Revenues). 

Enter Assumptions for your first Customer Type

Enter assumptions for the Customer Type in the Widget Template:

  • Customer Type Description (e.g. Small Service Customer)
  • Average Contract Duration in Months (enabled when the customer buys more than one time)
  • Sales Volume (e.g. the number of units such as person days sold one time or on a periodical basis) using Data Edit Group Sales Volume
  • Selling Price per unit (e.g. the daily rate per person day) using Data Edit Group Selling Price
  • Discounts in % which are granted on the selling price using Data Series Group Discount in %
  • Billing Terms when the customer's invoice is created (at-the-start or at-the-end of the contract period) and
  • Payment Terms to know time of invoice payment (cash-flow) (how many days after invoice creation customer must pay)

Save your assumptions

Save assumptions by clicking the <Save Stream> button.

By default, Lean-Case calculates revenues for one customer which is contracted in the first months of your Lean-Case. Let's assume the customer buys 100 units on a one-time basis at a Selling Price of $10, then this results in revenues of $1000.

 

Data Groups provide maximum flexibility for capturing assumptions with varying values over time. 

  • Data Series Group combines an input field with a Table Icon  to enter varying values for a data series. 
  • Data Edit Group combines three input fields (one of which being a Data Serie Group) in one column with an Edit-Mode Switch    for automatic and manual editing.  
Via the  Table Icon   , you activate the Data Capture Widget to create, flexibly edit or upload a series of values.

 

Related Categories 

Follow the links below to dive into more detail on how to create a Service Revenue Stream: