LVR

Lead Velocity Rate

Lead Velocity Rate (LVR) measures month-over-month growth in qualified leads. Unlike revenue (which is a lagging indicator), LVR predicts future growth. Consistently positive LVR means you're building a bigger pipeline for next quarter; flat or negative LVR is an early warning of revenue problems ahead.

The Formula
LVR = ((Qualified Leads This Month - Qualified Leads Last Month) / Qualified Leads Last Month) × 100
Qualified Leads This MonthNumber of SQLs or qualified opportunities created this month
Qualified Leads Last MonthNumber of SQLs or qualified opportunities created previous month
Source: SaaStr
Real Example

A SaaS company generated 80 SQLs in January and 92 SQLs in February. LVR = (92 - 80) / 80 × 100 = 15%. If they maintain 15% LVR monthly, they'll double qualified lead volume in about 5 months — setting up significant revenue growth in H2.

Real Talk

LVR is the only metric that tells you today what your revenue will look like in 90 days. Revenue is a lagging indicator — by the time you see it drop, the leads dried up three months ago. LVR fixes this. If your LVR is 10% month-over-month, you're compounding pipeline growth. If LVR goes flat or negative, you have a 90-day window to fix it before revenue suffers. The catch: LVR only works if your lead qualification is consistent. Stuffing more unqualified leads into the top of funnel doesn't help — you'll just see them die later in the pipeline. Watch LVR on qualified leads specifically.

Other Definitions
SaaStr (Jason Lemkin)

Lead Velocity Rate is the real-time measure of qualified lead growth. It's more predictive than revenue because leads convert to revenue with a time lag. LVR tells you where you'll be, not where you are.

InsightSquared

Lead Velocity Rate measures the month-over-month percentage growth in qualified leads. A positive LVR indicates growing sales potential; a declining LVR suggests future revenue shortfalls.

Klipfolio

LVR is a forward-looking indicator that measures the growth of qualified leads in your pipeline, helping you predict revenue growth before it happens.

Our Take

Lead Velocity Rate calculates the month-over-month percentage growth in qualified leads. Originated by Jason Lemkin, LVR serves as a leading indicator of future revenue — unlike MRR or bookings which reflect past performance. A consistent 10% LVR means qualified lead volume is compounding monthly, setting up future pipeline growth. Negative or flat LVR signals trouble: without lead growth today, revenue will stall in 1-2 quarters when today's pipeline reaches the close stage. LVR is most valuable when applied to truly qualified leads (SQLs or opportunities) rather than raw lead volume. Combining LVR with conversion rates helps predict future revenue with surprising accuracy.

Common Mistakes

Measuring LVR on unqualified leads (MQLs instead of SQLs) — inflates the number meaninglessly

Ignoring LVR until revenue dips — by then it's too late

Not accounting for seasonality — compare year-over-year for annual trends

Celebrating high LVR without checking conversion rates — leads that don't convert don't count

Setting LVR targets without aligning to sales capacity — too many leads with too few reps creates bottlenecks

Ready to fix it?

LVR flat or declining? Revenue problems are 90 days away.

We diagnose where your lead engine is stalling and build the systems to restart growth before revenue suffers.

Experience across

HSBC
Emerald 24
Navatech
Rakuten