FORECASTING IN UNCERTAIN ENVIRONMENTS

Summary from the TLDR Founders newsletter

Forecasting in the B2B software industry is becoming increasingly challenging due to factors such as sales volatility, pricing pressure, and the shift towards usage-based pricing models. Companies are facing issues with customer collectability, particularly with smaller and riskier customers, leading to increased write-offs and a need for more proactive credit checks. Effective forecasting in this volatile market requires a deep understanding of the business, engagement from founders, and the use of AI to enhance efficiency and model capabilities.