If you’re running a service business, you don’t just need good tools, you need the numbers behind the work. These five metrics give you a clear picture of what’s working, what’s broken, and where to focus if you want to grow without burning out or bleeding cash.

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1. Customer Acquisition Cost (CAC)

What it is:

How much it costs to get a new customer. Add up your sales and marketing spend, then divide by the number of new customers you brought in.

Why it matters:

If it costs you more to win a job than you make from it, your setup needs a rethink. This number helps you see if your marketing is actually paying off.

Formula:

CAC = (Marketing + Sales Expenses) ÷ New Customers

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2. Customer Lifetime Value (CLV)

What it is:

The total revenue you can expect from a customer over time — including repeat work and referrals.

Why it matters:

This tells you what a customer is worth in the long run. It also shows how much you can afford to spend to get a new one without losing money.

Formula:

CLV = Average Purchase Value × Purchase Frequency × Customer Lifespan

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3. Conversion Rate

What it is:

The percentage of leads that turn into paying customers.

Why it matters:

A low conversion rate could mean your pricing’s off, your sales process needs work, or your leads aren’t the right fit. Fixing this can boost revenue without spending more on ads.

Formula:

Conversion Rate = (Jobs Booked ÷ Leads) × 100

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4. Job Profitability

What it is:

The profit margin on each job, after direct costs like labor and materials.

Why it matters:

Some jobs look good on the surface but don’t actually make you money. Tracking this helps you find (and double down on) the work that’s truly worth your time.

Formula:

Job Profit Margin = (Revenue – Direct Costs) ÷ Revenue × 100

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5. Employee Productivity

How much revenue each tech brings in per hour.

Why it matters:

Labor is one of your biggest expenses. This number shows you who’s efficient and where there might be room to tighten things up.

Formula:

Revenue per Labor Hour = Total Revenue ÷ Total Labor Hours

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Now What?

Tracking these numbers is just the start. The real value comes from spotting trends, making smart changes, and tightening up the parts of your business that aren’t pulling their weight.

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That’s why we built this free spreadsheet. Plug in your numbers and get real insight into how your business is running.

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👉 Grab the Metrics Tracker here

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How to Use This Spreadsheet

The spreadsheet is view-only to protect the original formulas, but you can easily make your own editable copy by following these simple steps:

1. Click the spreadsheet link to open it in Google Drive
2. Once the spreadsheet opens, click on "File" in the top menu
3. Select "Make a copy" from the dropdown menu (or Download)
4. Choose where to save your copy (you can rename it if desired)
5. Click "Make a copy"

Now you have your own version of the spreadsheet that you can customize with your business data! Simply input your numbers in the yellow highlighted cells, and the spreadsheet will automatically calculate all the key metrics for your home service business.

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