# Work out my unit economics

Calculates CAC, LTV, contribution margin, and payback — and what to change to improve them.

- Topic: Business Strategy & Startups
- Framework: RTF
- Level: Standard
- Tags: Rewrite & Edit, Explain & Teach, Fill-in Template
- Source: https://www.thinkwithprompt.com/prompts/work-out-my-unit-economics

## Prompt

```text
Help me understand my unit economics.

**Business model:** [e.g. subscription, e-commerce, services]
**Numbers I have:** [price, cost of goods or delivery, marketing spend, new customers, churn or repeat rate, average order value, payment fees]

Calculate and explain (show the formulas):
- Contribution margin per unit/customer
- Customer acquisition cost (CAC)
- Customer lifetime value (LTV)
- LTV:CAC ratio and payback period
- Break-even volume

Then: what these numbers say about the business's health, the 3 levers that most improve them, and a sensitivity check (what happens if CAC rises 30% or churn doubles). Label any number you had to assume.
```

## What to fill in

- e.g. subscription, e-commerce, services

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