McKinsey explores the popular metric, which says that a SaaS company’s growth rate when added to its free cash flow rate should equal 40 percent or higher. Businesses exceed the rule only 16% of the time.

McKinsey explores the popular metric, which says that a SaaS company’s growth rate when added to its free cash flow rate should equal 40 percent or higher. Businesses exceed the rule only 16% of the time.