Let's get started with what you will learn in lesson 1, annual contract value.

Your Annual Contract Value is the average amount of money you’ll receive per unit or per door over a period of 12 months. It’s a good way to measure if your business really works.

To determine your ACV, you’ll need:

1. The total revenue you’ve earned over the last 12 months, and
2. The total # of doors under your management at the end of 12 months

Please note that for simplicity's sake, the estimated revenue we use in the upcoming example is only considering the percentage you make from collected rents we are not including revenue you might make from maintenance and other services you provide. Well also assume that each contract = 1 unit or 1 door.