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The words founders decide with, defined.

Plain definitions and the formulas behind the calculator and every assessment.

MRR (monthly recurring revenue)
Revenue you can expect every month from active subscriptions.MRR = customers × monthly price
Customers needed
How many paying customers a revenue target requires at your price.customers = target MRR ÷ price (round up)
Churn
The share of customers who cancel each month. Small-business software often loses 3–5% a month.churn = customers lost this month ÷ customers at the start
Growth ceiling
Where growth levels off: the point at which customers lost to churn equal the customers you add. More effort at the same churn does not move it; lower churn or more acquisition does.ceiling customers = new customers per month ÷ churn
New customers needed per month
The steady acquisition rate that reaches a target by a given month, starting from zero.new = customers × churn ÷ (1 − (1 − churn)^months)
Conversion rate
The share of qualified leads who become paying customers.leads needed = new customers ÷ conversion rate
As-described verdict
The decision on the idea exactly as first pitched, before narrowing.
Narrowed verdict
The decision on the specific wedge that could work: one buyer, one job, one channel.
Continue / Narrow / Pivot / Stop
The four decisions an assessment can recommend. Each comes with the evidence that would change it.
Founder condition
Something only the founder can supply, such as access to buyers, a skill or hours. Missing one multiplies the odds down by a stated factor.
Checkpoint / kill gate
A dated, measurable target set in advance. Missing it means changing the buyer, offer or channel, or stopping, not adding features.
Pre-mortem
Imagine the idea has failed in two years and list the likeliest causes, with their share of failures.
Evidence types
Verified fact, customer evidence, estimate, judgment and unknown. Keeping them apart is what makes an assessment inspectable.
Judgment odds
A reasoned estimate, such as “≈ 15 in 100”, of reaching an MRR level by month 24. Not a statistic and not a guarantee.