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Source: www.bain.com
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Level : Introductory
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Cybersecurity
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Language : English
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Published on December 20, 2018
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Free Article
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8 min of reading
About the content
The Rule of 40—the principle that a software company’s combined growth rate and profit margin should exceed 40%—has gained momentum as a high-level gauge of performance for software businesses in recent years, especially in the realms of venture capital and growth equity. Increasingly, software industry executives are embracing the Rule of 40 as an important metric to help measure the trade-offs of balancing growth and profitability.
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