How is CAC calculated?

CAC = total acquisition spend ÷ new paying clients. We use ad spend ÷ (leads × close rate). For full CAC, add sales team comp and lead-gen tool subscriptions.

How is LTV calculated here?

LTV = (monthly fee × gross margin) ÷ monthly churn rate. We assume 75% gross margin. To customize, use the Agency LTV Calculator with your own margin input.

What if my LTV:CAC is below 1?

Don't scale spend. Fix one of: pricing (raise fee), conversion (improve sales process or close rate), or retention (cut churn). Each is a separate fix.

What payback period is acceptable?

Under 12 months is healthy for an SMMA. Under 6 months is excellent. Above 18 months means you're tying up cash too long - raise prices or improve close rate.

Can I really resell DM Champ to my clients?

Yes. The Agency tier is built exactly for this. You rebrand the dashboard, set sub-accounts per client, pick what you charge them, and keep 100% of every dollar.

Do my clients ever see the DM Champ brand?

No. Full white-label means your logo, your domain, your branding. They will never know DM Champ exists.

How long does it take to set up a client?

About 15 minutes. Paste their website URL, pick their channels, hand them the dashboard. The AI is ready before your kickoff call ends.

Which channels does it cover?

WhatsApp (Business API and WhatsApp Web), Instagram DMs, Facebook Messenger, website chat and SMS. All in one inbox per client. iMessage and Telegram are coming soon.

Can the AI really close $40,000+ deals?

Yes. The conversation at the top of this page is a real one. Our founder used the internal version of this AI to take FueGenix from $5M to $10M in 12 months.

Can I bring my own AI key?

Yes, with your own Anthropic API key. BYOK is available on Pro and Agency tiers (and AppSumo Tier 2+). All AI operations stop costing credits, you pay Anthropic directly. We don't support OpenAI BYOK because their tool-use reliability isn't there yet.

Is there a lifetime deal?

Yes. DM Champ is on AppSumo with a lifetime deal across all tiers, including Agency.

How much can I charge my clients?

Most agencies charge $200-$500 per month per client. High-ticket niches (clinics, coaches, agencies, real estate) often charge $500+.

Free tool · No signup

Agency CAC vs LTV. Should You Scale?

The DM Champ Agency CAC vs LTV Calculator gives agency founders a clear traffic-light verdict on whether to scale ad spend. Input ad spend, leads, close rate, fee and churn - see CAC, LTV and the LTV:CAC ratio. Free, no signup. Built for white-label DM Champ agencies. Powered by dmchamp.com.

See the Agency tier ← All free tools

Unit economics

Agency CAC vs LTV

Inputs

Monthly ad spend

Leads per month60 leads

1 leads500 leads

Close rate (lead → client)15%

150

Monthly fee per client$400

$100$2,000

Monthly churn5.0%

120

Results

CAC

$222

9.0 new clients/mo from 60 leads.

LTV

$6,000

At 75% gross margin.

LTV : CAC ratio

27×

Payback period

0.74 mo

🟢

LTV : CAC = 27.0×. Healthy. Every $1 of CAC returns $3+ in lifetime margin - scale up your ad spend.

For agencies →Agency LTV calculator →Agency MRR projection →Agency profit margin →Agency break-even →Pricing →

FAQ

Frequently Asked.

3:1 is the standard. Below that, you're funding growth out of margin. Above 5:1 means you're under-spending on acquisition - there's growth left on the table.

Skip the math. Talk to the AI.

Meet the Closer. Then Decide.

The same AI agent that closes $40K deals in DMs is one click away. No signup, no demo call - open the chat, push back, see if you can break it.

Try the Demo →Try the Live Demo →See the Agency tier

✓ No signup✓ No card✓ Talk to it like a real prospect

Chat with the AI