What metrics should definitely be included in an investor update?

Estimated reading time: 6 minutes

Key Takeaways

• Cutting through the noise is vital—don’t overload your investor update! Prioritize clarity by choosing metrics that best reflect your business stage.
• Visualizing your figures (charts, tables) ensures actionable insights and quicker comprehension for investors. Visuals > Walls of text.
• Down metrics or stumbles aren’t failures; they’re signals for course correction. Always reinforce data with insights and actions.
• Customize your updates. Start with proven templates, but always tailor for what’s relevant and meaningful for the current discussion.
• Use recurring, clearly-labeled KPIs. They show progress, highlight issues, and build investor confidence.

Why Use an Investor Update Template?

Writing one of your first updates and lost on what metrics are must-haves? It’s easy to feel overwhelmed by conflicting advice online.

You’re not alone. Our years preparing investor updates reveal: Focus wins. A simple, repeatable structure offers sanity and clarity.

Investor updates matter. They’re not just a formality—they’re the main bridge between you and your supporters (who can only help you if they understand what’s happening).

“The smartest investor updates don’t drown in data… they tell a story about progress, priorities, and possibilities.”

Essential Metrics for Investor Updates

• MRR / ARR: Monthly/Annual Recurring Revenue—shows predictable income from paying customers.
• ARPA: Average Revenue Per Account/customer.
• Gross Profit / Margin: Revenue minus cost of goods sold, as value and %.
• EBITDA: Profit before interest, taxes, depreciation, and amortization.
• Burn Rate & Runway: How fast you spend money and how long cash will last at the current rate.
• Net Sales: Sales after returns, discounts.
• Customer metrics: Active users (DAU, MAU), new/returning users/customers, churn, customer concentration risk, CAC.
• Other: New leads, activation rate, cohort retention.

Data Visualization & Presentation Tips

• Visualization is powerful: Present data as charts, graphs, or tables—humans process visuals far faster than numbers buried in text.
• Draw clear conclusions: Every metric requires a takeaway or proposed action (especially for negative trends).
• Don’t fear “bad” metrics: Being transparent about problems unlocks investor help. Context matters more than perfection.
• Segment your updates: Group numbers by theme: Finance, Customer, Retention, etc. It keeps stakeholders focused.
• Use period summaries: Recap results compared to goals/forecasts, and if needed, explain context for misses or overperformance.

Concrete Metric Examples

The point of metrics is to help everyone—founders, investors, advisors—keep tabs on real progress, spot issues, and understand the levers behind wins or disappointments. Progress isn’t always smooth, but every clear update brings support a step closer.

Recommendations & Conclusion

There’s no “one right way” to update investors, but maximizing clarity and minimizing confusion always wins. Tailor templates to your business model, and never shy away from discussing difficult numbers—as long as you’re connecting the dots for your readers and ready with a plan.

Bottom line: Clarity, relevance, and consistent communication beat information overload every time.

“A good update is honest, visual, and focused—giving everyone a chance to help move things forward.”

— Team Growth Metrics

Frequently Asked Questions