The Lean-Case Expense Widget is used to capture Cost of Goods Sold, Cost of Selling, Cost of Marketing, Headcount-related cost and general Expenses.
Learn how to enter a cost or expense item based on volumes, e.g.
To add a time-based expense to a Cost or Expense Group, click the <Add Cost/Expense Item> button and select thetab.
To add an expense based on volumes, set the Time / Volume switch to "Volume"
Enter the following parameters
Entering the volume-driver requires 3 steps:
Zoom in for Example
Select the Driver Category (e.g. Customers, Units, Sales Teams, Sales Partners, Headcounts or Revenues)
Select the suitable Volume Driver driver within the Driver Category (e.g. New Customers, Customers at End of Month, Sold Customers, ..)
Select the Revenue stream or the Revenue Stream Plan on which this Volume Driver triggers
Please note: Not all drivers are available in every expense module due to calculation dependencies (e.g. a revenue driver in the CoGS widget might cause a circular dependency for calculations)
The table below lists the four different cost drivers (units, customers, sales teams and sales partners) and provides examples on how they can impact cost.
Sold (New + Renewed) ...
Production Cost per New Unit
License Cost per Unit Sold
Support Cost per Existing Unit
One-time Onboarding Cost per Customers
License Fee per Active Customer
Support Cost per Existing Customer
... Sales Teams
Ramp-Up Cost per New Sales Team
Cost per all exististing Sales Teams
... Sales Partners
Ramp-Up Cost per New Sales Partner
Cost per all exististing Sales Partners
Cost per NEW Units/Customers/Sales Teams/Sales Partners are one-time cost which occur every time when
Cost per SOLD Units/Customers are one-time cost which occur every time when
Cost per EXISTING Units/Customers/Sales Teams/Sales Partners are periodical monthly cost which occur for
A volume-based cost item can be driven on different cost drivers: Customers, Units, Sales Teams, Sales Partners and Headcounts. Volume based cost occur:
ONE TIME, e.g. when a new unit is sold (production cost), a new customer is signed up (on-boarding cost), a new Sales Team or Sales Partner is set up (ramp-up cost) or a new Headcount is onboarded (training cost)
UPON A SALE, e.g. when a unit is sold or a unit is renewed (3rd party license fee,
a customer contract is closed or renewed (an affiliate fee or commissions), ..
ONGOING as periodical monthly cost which occur for all units in the market (monthly maintenance cost) all existing customers (monthly customer support cost), all active Sales Teams (on-going monthly cost per Sales Team), all active Sales Partners (on-going monthly retainer per Sales Partner), all Headcounts (e.g. IT Support Cost)
Select the revenue stream or revenue stream contract on which this cost item is dependent?
Select the appropriate cost driver for this cost?
Enter the amount for this cost item. You can enter a flat number or vary the number over time to reflect changing cost, … via the <UPW> icon.
Pick the month in which this cost occurs for the first time.
Pick the month in which this cost ends.
<<<COMMENT: Beginner Mode only support % growth>>>
Enter the rate in % at which this cost item changes from period to period