Qualified Lead Max Cost

Stop guessing at CPL caps. Provide your customer LTV, the share of revenue finance wants to keep after marketing, and the lead-to-close rate to see the exact CPL ceiling that preserves margin. The calculator also exposes ROI per lead and annualized return across your sales cycle so you can defend bids in media planning.

Net revenue per customer over the retention horizon.
Percent of LTV you need left after marketing spend.
Optional. Defaults to 25% if blank.
Optional. Defaults to 3 months to annualize ROI.

Marketing finance guidance only. Validate LTV, attribution windows, and conversion rates before committing spend.

Examples

  • B2B SaaS with $3,200 LTV, 65% margin requirement, 20% lead-to-close, 4-month cycle ⇒ Maximum cost per qualified lead: $224.00 USD • Max cost per acquired customer: $1,120.00 USD • Lead delivers $640.00 USD of revenue before marketing spend and $2,080.00 USD of gross profit per customer • ROI at this CPL: 185.71% (557.14% annualized with a 4.0-month sales cycle).
  • High-ticket service with $6,500 LTV, 72% margin, default 25% conversion, 2.5-month cycle ⇒ Maximum cost per qualified lead: $455.00 USD • Max cost per acquired customer: $1,820.00 USD • Lead delivers $1,625.00 USD of revenue before marketing spend and $4,680.00 USD of gross profit per customer • ROI at this CPL: 257.14% (1,234.29% annualized with a 2.5-month sales cycle).

FAQ

What if my sales cycle varies by segment?

Run separate scenarios for enterprise, mid-market, and SMB motion. Feed each with the right LTV, margin target, and lead-to-close rate so media bids mirror how those cohorts convert.

How do I include partner commissions or SDR costs?

Subtract those variable costs from LTV before using the calculator so the remaining spend fraction only reflects what you can pay to acquire the lead.

Can I turn this into a CPA target?

Yes—the max cost per acquired customer output is the CPA ceiling that keeps you within the contribution margin constraint.

What if my conversion rate is below 5%?

The CPL cap will collapse quickly. Consider tightening lead qualification or improving nurture programs so that more pipeline converts and you can afford paid media again.

Additional Information

  • LTV should already net out fulfillment costs so the contribution margin represents how much of that revenue finance insists on keeping.
  • Conversion rate is the share of sales-qualified leads that become paying customers—update it quarterly as your funnel performance shifts.
  • If you need a safety buffer, lower the allowed CPL below the reported maximum or increase the required contribution margin.
  • Annualized ROI assumes you recoup spend once per sales cycle; shorten the cycle to see how improving velocity boosts return.

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