# Frontegg Financial Model Full-stack user management platform (auth, authorization, multi-tenancy, billing, audit logs) for product-led SaaS companies. - Canonical: https://finamodel.com/startups/frontegg - Excel download: https://finamodel.com/startup-models/frontegg.xlsx - Category: Dev Tools - Model type: SaaS ARR / Valuation - Funding round: Series A - Funding: $25M - Founded: 2021 - Geography: Israel-based (Jerusalem timezone referenced); customers appear global. - Customer: B2B ## About the company Frontegg is an embedded user-management platform for SaaS builders, covering authentication, authorization, multi-tenancy, billing, audit logs, and an admin portal through a developer package. It helps product teams ship enterprise-grade account management without building every control themselves. The product is priced per tenant across Basic, Growth, and Enterprise tiers, with self-serve signup feeding product-led adoption and enterprise features adding support, service levels, and hybrid deployment. The company reported rapid self-serve adoption and a small early paying-customer base. The model is tenant-based SaaS ARR. New signups, activated customers, tenant count, tier mix, ARPU, expansion, and churn build recurring revenue. Product-led conversion, enterprise upgrades, identity-infrastructure cost, support, and net revenue retention determine the scale path. ## What's included - 5-year monthly revenue build with stage-appropriate growth assumptions - Full P&L, headcount plan, and operating-expense schedule - Cash-flow statement, runway, and burn-rate tracking - Valuation via exit multiple with a DCF cross-check - Returns analysis with MOIC and IRR - Unit economics including CAC, LTV, payback, and cohort retention ## Product & value proposition Frontegg is a plug-and-drop "user management layer" that SaaS builders embed into their products via a single npm package (`@frontegg/admin-portal`). Core pillars: - **Authentication**: Passwordless, WebAuthn, SSO (SAML/OIDC), MFA - **Authorization**: RBAC, ABAC, fine-grained permissions - **Advanced multi-tenancy**: complex org structures, team management, invitations - **Admin portal**: embeddable white-label portal for end-users (profile, security, SSO config, audit logs, webhooks, API tokens) - **Subscription & billing**: tier-based enforcement, billing interface, self-service checkout - **API token management**: machine-to-machine hub Frontend framework support + backend-agnostic SDK; multiple deployment methods including hybrid/Docker. Value prop framing: "Logging in is not enough" - modern SaaS users expect self-service; building all this in-house is enormous engineering overhead. ## Revenue model - **Pricing model**: Tenant-based (per-tenant SaaS), "grow as the business grows" - **Tiers**: Three named tiers - Basic / Growth / Enterprise - Basic: Advanced authentication, MFA, pre-defined roles, automatic audit logs - Growth: all Basic + SSO, API token management, custom roles, all platform included - Enterprise: all Growth + high SLA, 24/7 support, dedicated solution architect, hybrid deployment (Docker) - **Go-to-market**: Product-led / self-serve (signup → self-service checkout); enterprise sales implied by dedicated SA tier. - **Channel**: Direct / product-led; developers self-onboard via npm. ## Traction & metrics - "10x growth of product adoption and self-serve signups to the platform" - no base or absolute numbers given; no time period specified. - "Stable release of Self-served module and super-fast adoption" - Team of 25 members - 4 named/partially-named paying customers shown: (1) anonymised hyper-growth fintech (processes billions of dollars monthly), (2) anonymised company serving Fortune 50 clients protecting billions of people, (3) Medigate (NYC IoT/medical device security), (4) Kovrr (cyber risk modeling for (re)insurers) - No ARR, MRR, customer count, churn, or NRR figures disclosed. ## Competition / moat Not explicitly addressed in deck. Implicit competitive positioning: - Alternatives are building in-house (slide 12 lists 13+ components needed) or piecemealing Auth0/Okta-style point solutions. - Moat framing: full-stack (frontend portal + backend APIs in one), PLG-native (self-serve from day 1), fast integration (one npm install), and tenant-based pricing that scales with customer growth. ## Team & funding ask / use of funds - Team: 25 members; no named founders/execs listed in deck. - Near-term plans: Establish management team (Product, Marketing, Sales); scale and enhance product; become "leading user management platform in the PLG era." --- ## Recommended financial model - **Archetype + why**: SaaS ARR model with tenant-based cohort expansion. Revenue is driven by number of tenants (customer companies) × average revenue per tenant, tiered by Basic/Growth/Enterprise. PLG funnel (self-serve signups → conversion → upsell) is the core growth engine. Classic land-and-expand dynamics mean net revenue retention is the key long-run lever. - **Forecast horizon & granularity**: 3 years monthly (M1–M36), with Year 1 monthly detail and Years 2–3 quarterly rollup. Monthly granularity needed to track PLG cohort conversion lags. - **Key drivers & assumptions**: - New self-serve signups per month] - Free-to-paid conversion rate - Tier mix at conversion: Basic / Growth / Enterprise split - Average revenue per tenant by tier - Basic, Growth, Enterprise - Monthly tenant churn rate - Net revenue retention / expansion (upgrade Basic → Growth → Enterprise) - Headcount: 25 today; hiring plan for Product/Marketing/Sales - Gross margin - S&M spend as % of revenue - R&D spend - G&A - **Scenarios (Base / Bull / Bear - which variables flex)**: - **Base**: 10–12% MoM signup growth, 7% conversion, tier mix as above, 1.5% monthly churn, 115% NRR - **Bull**: 15% MoM signup growth, 10% conversion, faster Enterprise mix shift, 1% churn, 125% NRR - **Bear**: 5–7% MoM signup growth, 5% conversion, churn 2.5%, NRR 105%, slower enterprise hiring - **Required sheets / outputs**: 1. **Assumptions** - all drivers in one place, clearly tagged 2. **PLG Funnel** - signups → trialists → paid conversions by month 3. **Cohort ARR** - monthly cohort table: new ARR, expansion ARR, churned ARR, net ARR 4. **P&L** - revenue, gross profit, S&M, R&D, G&A, EBITDA 5. **Headcount plan** - by function, with salary assumptions 6. **Cash / Runway** - burn rate, runway from funding (amount TBD) 7. **Dashboard** - ARR bridge, NRR, CAC payback, monthly burn ## Frequently asked questions ### Is the Frontegg financial model free? Yes. The Frontegg model is a free Excel download with live formulas. ### Can I change the assumptions? Yes. The workbook is editable and its live formulas recalculate when assumptions change.