Lead Velocity Rate

Also called LVR

Lead velocity rate: the month-over-month growth in the number of qualified leads. A forward-looking indicator of future revenue.

LVR = (qualified leads this month - last month) / last month

Why it matters

Because leads precede revenue, LVR predicts sales growth before it appears in the numbers. A rising LVR is one of the earliest signals that revenue growth is coming; a falling one is an early warning.

For example

Qualified leads grow from 100 to 130 in a month, a 30 percent lead velocity rate that predicts revenue growth a couple of quarters out.

Go deeper

16 Startup Metrics a16z · article Lead Velocity Rate is defined here among the core startup metrics investors actually track, with how to read it honestly. Open a16z.com →

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