---
id: "13.10"
title: "Financial model"
dept: finance
status: needs-you
owner: Param
branded: false
last_verified: 2026-10-26
sources:
  - "brew working tree docs/pricing.md:20-43, untracked"
  - "brew origin/main a559de6: rewrite-pot.js:19-24, public/demo-picker.html:201"
  - "handbook content/finance/unit-economics.md, content/finance/revenue-plan.md, content/finance/budget.md, content/ai-and-models/cost-per-brand.md"
  - "memory: brew-gemini-provider, brew-model-compare-2026-10-20, brew-pricing-parked"
---

# Financial model

## Answer

How pricing, costs and growth tie together into one model; no model exists, so this page sets out its drivers, its formulas and one worked example on the proposed prices, every figure marked a projection, and Param supplies the growth and cost inputs that have no source.

## Today

### Inputs with a source

| Input | Value | Source |
|---|---|---|
| v1 plan | $79 or ₹4,999 a month | [src: brew working tree docs/pricing.md:20] |
| Wallet added by the plan | $12 a month | [src: brew working tree docs/pricing.md:21] |
| Brain cost estimate per brand | about $15 in v1, $45 in v4 | [src: brew working tree docs/pricing.md:23] |
| Allowed cost per brand before drafts | up to about $180 a month, proposed | [src: content/ai-and-models/cost-per-brand.md Numbers] |
| First build of every Play | about $18 on Pro, proposed; about $80 for a full demo build | [src: content/ai-and-models/cost-per-brand.md Numbers] [src: brew/public/demo-picker.html:201] |
| Play rewrite estimate | $0.40 on Pro, plus about 1.5 times overhead | [src: brew/rewrite-pot.js:19-24] |
| Google credits left | $20,763 on 16 Oct | [src: memory brew-gemini-provider] |
| Partners after the partnership | $79 for life, proposed | [src: brew working tree docs/pricing.md:41] |

## Tomorrow

| Item | Version | Tag |
|---|---|---|
| A sheet with the drivers below, monthly for 24 months | v1 | New |
| Measured cost per brand replaces the estimate | v1 | Changes |
| Version prices and autopilot added as each version ships | v2 to v4 | New |

## How we do it

### Inputs with no source

| Input | Needed for |
|---|---|
| New brands a month | Growth |
| Trial to paid rate | Growth |
| Monthly churn | Growth |
| Wallet spend per brand a month | Revenue |
| Fixed costs: people, tools, cloud base | Burn |
| Cash in bank | Runway |

These have no figure in any source [src: content/finance/revenue-plan.md Today] [src: content/finance/budget.md Today].

### The formulas

1. Paying brands this month = paying brands last month × the share kept, plus new trials × trial to paid.
2. Plan revenue = paying brands × the plan price for their version.
3. Wallet revenue = paying brands × wallet spend per brand.
4. Variable cost = paying and trial brands × cost per brand, plus first builds × first build cost.
5. Gross margin = plan revenue plus wallet revenue, less variable cost.
6. Burn = fixed costs plus variable cost, less revenue, less credit drawn.
7. Runway = cash ÷ burn.

### A worked example, a projection, not a promise

One v1 brand a month on the proposal's numbers:

| Line | Low cost case | High cost case |
|---|---|---|
| Plan | $79 | $79 |
| Brain cost | $15, the spec's estimate | $180, the caps' ceiling |
| Gross margin before wallet | $64, about 81% | minus $101 |

The gap between the two columns is the single most important unknown in the model, and only a measured month closes it.

## Numbers

| Metric | Definition | Where measured | Status |
|---|---|---|---|
| Gross margin per brand | As in formula 5, per brand | The model sheet | Proposed |
| Burn a month | As in formula 6 | Spend ledger plus the sheet | Proposed |
| Runway in months | As in formula 7 | The sheet | Proposed, no cash figure |
| Credit runway | Credits left ÷ credit drawn a month | Cloud Billing credits | Proposed |

## Open

1. **Growth inputs.** Proposal: model three cases of 5, 15 and 30 new trials a month with a 30% trial to paid rate and 5% monthly churn, labelled projections, until the first real month replaces them.
2. **Cost per brand input.** Proposal: use $45 until three partners have one measured month.
3. **Fixed costs and cash.** Proposal: Param enters salaries, tools and cash privately in the sheet; this page shows only the runway.
4. **Who owns the sheet?** Proposal: Sai builds it, Param reviews it monthly with the investor update.