CAC (Customer Acquisition Cost)
Startup BasicsCAC is the total amount a company spends on sales and marketing to acquire one new paying customer, on average.
Plain-English definitions of startup, funding, AI, and tech terms — with Philippine examples where possible.
CAC is the total amount a company spends on sales and marketing to acquire one new paying customer, on average.
A cap table is a spreadsheet showing exactly who owns what percentage of a startup, including founders, employees, and investors.
Churn is the rate at which customers stop using or paying for a product over a given period, usually measured monthly.
Cloud computing means running software and storing data on someone else's remote servers over the internet, instead of your own computers.
A co-founder is one of two or more people who start a company together from the very beginning, sharing ownership, risk, and major decisions.
The context window is the maximum amount of text an AI model can read and remember at once when producing a response.
A convertible note is a short-term loan to a startup that converts into equity later, usually at the next priced funding round.
A DAO (decentralized autonomous organization) is a group whose members vote on decisions using blockchain-recorded tokens, instead of a traditional board.
DeFi (decentralized finance) means financial services — lending, trading, earning interest — run automatically by blockchain code instead of a bank.
DICT is the Philippine government department that sets national ICT policy and supports the country's tech and startup industry.
Dilution is the drop in a founder's or existing shareholder's ownership percentage that happens when a startup issues new shares.
DOST is the Philippine government department that funds and supports science, technology, and research-based startups.