Financial Models

Unit Economics, P&L Projections & Scenario Analysis

Scenario:
LTV:CAC Ratio

20x

Target: >10x (Excellent)

User LTV

AED 360

24-month lifetime value

User CAC

AED 18

Blended acquisition cost

Payback Period

1 months

Time to recover CAC

User Unit Economics

Transaction Metrics

Avg Transactions/Month4 txns
Avg Transaction ValueAED 100
Avg Cashback Rate3%
Avg Cashback/TransactionAED 3
Monthly GMV/UserAED 400
Annual GMV/UserAED 4,800

LTV Calculation

Monthly GMV/UserAED 400 (100 AOV × 4 txns)
Net Take Rate (Nuqta)5% (of 8% total)
Monthly ARPUAED 20
Average Lifetime18 months
LTVAED 360

LTV = GMV × Net Take Rate × Lifetime = 400 × 5% × 18

Healthy Economics

LTV:CAC of 20x far exceeds the 3x minimum threshold, indicating strong unit economics and capital efficiency.

Merchant Unit Economics

Revenue Metrics

Merchant CACAED 150
Avg Commission Rate8%
Avg Monthly GMVAED 50,000
Avg Monthly RevenueAED 250
Merchant Churn Rate5%/month
Avg Lifetime24 months

Merchant LTV Calculation

Monthly Revenue (Nuqta net)AED 250
Average Lifetime24 months
Merchant LTVAED 6,000

40x

LTV:CAC Ratio

<1 mo

Payback Period