{"product_id":"investigative-genetic-genealogy-owner-makes","title":"How Much IGG Service Owners Make With 80% Gross Margin","description":"\u003cbr\u003e\u003cdiv class=\"container_new_design\"\u003e\n\u003cdiv class=\"text-section text-1_new_design\"\u003e\n\u003cdiv class=\"line_top\"\u003e\u003c\/div\u003e\n\u003cp\u003eYou’re pricing casework before the case pipeline is proven, so owner income has to be planned from revenue, not salary benchmarks This page covers \u003cstrong\u003eYear 1 to Year 5\u003c\/strong\u003e owner take-home economics for a US investigative genetic genealogy service, using case fees, direct costs, payroll, overhead, reserves, and scenario logic\u003c\/p\u003e\n\n\n\u003c\/div\u003e\n\u003cdiv class=\"image-section image-1_new_design\" id=\"main_article_image\"\u003e\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003csection class=\"fml-owner-metric-cards\" aria-label=\"Owner income outlook\"\u003e\u003cdiv class=\"metric-grid\"\u003e\n\u003carticle class=\"metric-card is-yellow\"\u003e\u003cspan class=\"metric-icon-tip\" tabindex=\"0\" data-tooltip=\"Annual reserve-adjusted owner take-home before taxes; model keeps it at $0 until contribution covers overhead, payroll, and reserves.\"\u003e\u003cimg class=\"metric-icon\" src=\"\/cdn\/shop\/files\/fml-owner-income-kpi-owner-income.svg\" alt=\"Owner income icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003eOwner income\u003c\/span\u003e\u003cstrong class=\"metric-value\" tabindex=\"0\" data-tooltip=\"Annual reserve-adjusted owner take-home before taxes; model keeps it at $0 until contribution covers overhead, payroll, and reserves.\"\u003e$0\u003c\/strong\u003e\u003c\/article\u003e\u003carticle class=\"metric-card\"\u003e\u003cspan class=\"metric-icon-tip\" tabindex=\"0\" data-tooltip=\"Year 1 to Year 5 EBITDA margin from model revenue and operating profit; it excludes taxes and owner draw.\"\u003e\u003cimg class=\"metric-icon\" src=\"\/cdn\/shop\/files\/fml-owner-income-kpi-net-margin.svg\" alt=\"Net margin icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003eNet margin\u003c\/span\u003e\u003cstrong class=\"metric-value\" tabindex=\"0\" data-tooltip=\"Year 1 to Year 5 EBITDA margin from model revenue and operating profit; it excludes taxes and owner draw.\"\u003e-50% to 27%\u003c\/strong\u003e\u003c\/article\u003e\u003carticle class=\"metric-card\"\u003e\u003cspan class=\"metric-icon-tip\" tabindex=\"0\" data-tooltip=\"Annual Year 3 revenue proxy for the $180,000 owner salary target; it's the modeled breakeven planning level, not a promise.\"\u003e\u003cimg class=\"metric-icon\" src=\"\/cdn\/shop\/files\/fml-owner-income-kpi-revenue-target.svg\" alt=\"Revenue for target pay icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003eRevenue for target pay\u003c\/span\u003e\u003cstrong class=\"metric-value\" tabindex=\"0\" data-tooltip=\"Annual Year 3 revenue proxy for the $180,000 owner salary target; it's the modeled breakeven planning level, not a promise.\"\u003e$2.49M\u003c\/strong\u003e\u003c\/article\u003e\u003carticle class=\"metric-card\"\u003e\u003cspan class=\"metric-icon-tip\" tabindex=\"0\" data-tooltip=\"Negative EBITDA in Years 1-2, Month 31 breakeven, and 56-month payback make this a hard build under the model.\"\u003e\u003cimg class=\"metric-icon\" src=\"\/cdn\/shop\/files\/fml-owner-income-kpi-business-difficulty.svg\" alt=\"Business difficulty icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003eBusiness difficulty\u003c\/span\u003e\u003cstrong class=\"metric-value\" tabindex=\"0\" data-tooltip=\"Negative EBITDA in Years 1-2, Month 31 breakeven, and 56-month payback make this a hard build under the model.\"\u003eHard\u003c\/strong\u003e\u003c\/article\u003e\n\u003c\/div\u003e\u003c\/section\u003e\u003cbr\u003e\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eWant to test your owner pay target?\n\u003c\/span\u003e\u003c\/h2\u003e\n\u003csection class=\"fml-owner-calculator\" aria-label=\"Investigative Genetic Genealogy Service Owner Income Calculator\" data-locale=\"en-US\" data-currency=\"USD\" data-default-scenario=\"base\" data-export-filename=\"Investigative Genetic Genealogy Service Owner Income Calculator.xlsx\" data-source-site-name=\"Financial Models Lab\" data-source-site-url=\"https:\/\/financialmodelslab.com\" data-source-page-title=\"Investigative Genetic Genealogy Service Owner Income Calculator\" data-note-title=\"Planning note:\" data-note-text=\"Research-based planning estimate only. It is not guaranteed salary, tax advice, or owner distribution advice. It excludes one-time startup capex, legal advice, and guaranteed case resolutions.\"\u003e\u003cdiv class=\"fml-owner-card\"\u003e\n\u003cheader class=\"fml-owner-header\"\u003e\u003cdiv class=\"fml-owner-heading\"\u003e\n\u003cp class=\"fml-owner-eyebrow\"\u003eOwner income calculator\u003c\/p\u003e\n\u003cp class=\"fml-owner-intro\"\u003eEstimate owner take-home and target-pay gap from revenue, margin, costs, reserves, and target pay.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-scenarios\" aria-label=\"Income scenario presets\"\u003e\n\u003cbutton class=\"fml-owner-scenario\" type=\"button\" data-scenario=\"low\"\u003eLow\u003c\/button\u003e\u003cbutton class=\"fml-owner-scenario is-active\" type=\"button\" data-scenario=\"base\"\u003eBase\u003c\/button\u003e\u003cbutton class=\"fml-owner-scenario\" type=\"button\" data-scenario=\"high\"\u003eHigh\u003c\/button\u003e\n\u003c\/div\u003e\u003c\/header\u003e\u003cdiv class=\"fml-owner-layout\"\u003e\n\u003cform class=\"fml-owner-inputs\"\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eMonthly revenue\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Average cash collected in a normal month. Back into this from cases per month multiplied by average fee per case.\"\u003ei\u003cspan role=\"tooltip\"\u003eAverage cash collected in a normal month. Back into this from cases per month multiplied by average fee per case.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"monthlyRevenue\" data-owner-kind=\"money\" data-owner-label=\"Monthly revenue\" data-owner-note=\"Average cash collected in a normal month. Back into this from cases per month multiplied by average fee per case.\" data-low=\"58167\" data-base=\"207583\" data-high=\"441000\" name=\"monthlyRevenue\" type=\"text\" inputmode=\"numeric\" value=\"207,583\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eGross margin\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Percent left after direct DNA lab and database costs. Year 1 is near 80%, and Year 5 is near 84%.\"\u003ei\u003cspan role=\"tooltip\"\u003ePercent left after direct DNA lab and database costs. Year 1 is near 80%, and Year 5 is near 84%.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-percent\"\u003e\n\u003cinput data-owner-field=\"grossMargin\" data-owner-kind=\"percent\" data-owner-label=\"Gross margin\" data-owner-note=\"Percent left after direct DNA lab and database costs. Year 1 is near 80%, and Year 5 is near 84%.\" name=\"grossMargin\" type=\"range\" min=\"0\" max=\"100\" step=\"1\" data-low=\"80\" data-base=\"82\" data-high=\"84\" value=\"82\"\u003e\u003coutput\u003e82%\u003c\/output\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eLabor cost\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Monthly staffing cost before owner pay. Use non-owner payroll, contractors, and case coverage.\"\u003ei\u003cspan role=\"tooltip\"\u003eMonthly staffing cost before owner pay. Use non-owner payroll, contractors, and case coverage.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"laborCost\" data-owner-kind=\"money\" data-owner-label=\"Labor cost\" data-owner-note=\"Monthly staffing cost before owner pay. Use non-owner payroll, contractors, and case coverage.\" data-low=\"18333\" data-base=\"78500\" data-high=\"113667\" name=\"laborCost\" type=\"text\" inputmode=\"numeric\" value=\"78,500\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eFixed overhead\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Recurring overhead like rent, utilities, insurance, software, accounting, travel, and admin.\"\u003ei\u003cspan role=\"tooltip\"\u003eRecurring overhead like rent, utilities, insurance, software, accounting, travel, and admin.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"fixedOverhead\" data-owner-kind=\"money\" data-owner-label=\"Fixed overhead\" data-owner-note=\"Recurring overhead like rent, utilities, insurance, software, accounting, travel, and admin.\" data-low=\"24050\" data-base=\"24050\" data-high=\"24050\" name=\"fixedOverhead\" type=\"text\" inputmode=\"numeric\" value=\"24,050\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eMarketing\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Monthly marketing and business development spend needed to keep cases flowing.\"\u003ei\u003cspan role=\"tooltip\"\u003eMonthly marketing and business development spend needed to keep cases flowing.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"marketing\" data-owner-kind=\"money\" data-owner-label=\"Marketing\" data-owner-note=\"Monthly marketing and business development spend needed to keep cases flowing.\" data-low=\"6250\" data-base=\"10417\" data-high=\"15000\" name=\"marketing\" type=\"text\" inputmode=\"numeric\" value=\"10,417\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eDebt service\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Monthly loan or financing payments. Use 0 if there is no debt.\"\u003ei\u003cspan role=\"tooltip\"\u003eMonthly loan or financing payments. Use 0 if there is no debt.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"debtService\" data-owner-kind=\"money\" data-owner-label=\"Debt service\" data-owner-note=\"Monthly loan or financing payments. Use 0 if there is no debt.\" data-low=\"0\" data-base=\"0\" data-high=\"0\" name=\"debtService\" type=\"text\" inputmode=\"numeric\" value=\"\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eTax reserve\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Percent of profit held back for taxes before owner pay.\"\u003ei\u003cspan role=\"tooltip\"\u003ePercent of profit held back for taxes before owner pay.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-percent\"\u003e\n\u003cinput data-owner-field=\"taxReserve\" data-owner-kind=\"percent\" data-owner-label=\"Tax reserve\" data-owner-note=\"Percent of profit held back for taxes before owner pay.\" name=\"taxReserve\" type=\"range\" min=\"0\" max=\"45\" step=\"1\" data-low=\"18\" data-base=\"24\" data-high=\"28\" value=\"24\"\u003e\u003coutput\u003e24%\u003c\/output\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eReinvestment reserve\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Percent of profit kept for working capital, tools, and risk buffer.\"\u003ei\u003cspan role=\"tooltip\"\u003ePercent of profit kept for working capital, tools, and risk buffer.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-percent\"\u003e\n\u003cinput data-owner-field=\"reinvestmentReserve\" data-owner-kind=\"percent\" data-owner-label=\"Reinvestment reserve\" data-owner-note=\"Percent of profit kept for working capital, tools, and risk buffer.\" name=\"reinvestmentReserve\" type=\"range\" min=\"0\" max=\"35\" step=\"1\" data-low=\"5\" data-base=\"10\" data-high=\"14\" value=\"10\"\u003e\u003coutput\u003e10%\u003c\/output\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-row\"\u003e\n\u003clabel class=\"fml-owner-label\"\u003e\u003cspan\u003eTarget owner pay\u003c\/span\u003e\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Target monthly owner income used to calculate the target-pay gap.\"\u003ei\u003cspan role=\"tooltip\"\u003eTarget monthly owner income used to calculate the target-pay gap.\u003c\/span\u003e\u003c\/span\u003e\u003c\/label\u003e\u003cdiv class=\"fml-owner-money\"\u003e\n\u003cspan\u003e$\u003c\/span\u003e\u003cinput data-owner-field=\"targetOwnerPay\" data-owner-kind=\"money\" data-owner-label=\"Target owner pay\" data-owner-note=\"Target monthly owner income used to calculate the target-pay gap.\" data-low=\"10000\" data-base=\"15000\" data-high=\"25000\" name=\"targetOwnerPay\" type=\"text\" inputmode=\"numeric\" value=\"15,000\"\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003c\/form\u003e\n\u003caside class=\"fml-owner-results\" aria-live=\"polite\"\u003e\u003cspan class=\"fml-owner-tag\"\u003eOwner income output\u003c\/span\u003e\u003cdiv class=\"fml-owner-metrics\"\u003e\n\u003cdiv class=\"fml-owner-metric is-primary\"\u003e\n\u003cspan class=\"fml-owner-metric-label\"\u003eOwner Income\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Monthly take-home after tax and reinvestment reserves.\"\u003ei\u003cspan role=\"tooltip\"\u003eMonthly take-home after tax and reinvestment reserves.\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003cstrong data-owner-output=\"monthlyOwnerIncome\"\u003e$37,786\u003c\/strong\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-metric\"\u003e\n\u003cspan class=\"fml-owner-metric-label\"\u003eNet Margin\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Owner income divided by monthly revenue.\"\u003ei\u003cspan role=\"tooltip\"\u003eOwner income divided by monthly revenue.\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003cstrong data-owner-output=\"netProfitMargin\"\u003e18%\u003c\/strong\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-metric\"\u003e\n\u003cspan class=\"fml-owner-metric-label\"\u003eRevenue for Target Pay\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Monthly revenue needed to support the target owner pay.\"\u003ei\u003cspan role=\"tooltip\"\u003eMonthly revenue needed to support the target owner pay.\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003cstrong data-owner-output=\"revenueNeeded\"\u003e$165K\u003c\/strong\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-metric is-target-gap is-positive\"\u003e\n\u003cspan class=\"fml-owner-metric-label\"\u003eTarget Pay Gap\u003cspan class=\"fml-owner-tooltip\" tabindex=\"0\" aria-label=\"Owner income minus target owner pay. Negative means the target pay is not covered.\"\u003ei\u003cspan role=\"tooltip\"\u003eOwner income minus target owner pay. Negative means the target pay is not covered.\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003cstrong data-owner-output=\"targetPayGap\"\u003e$22,786\u003c\/strong\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdl class=\"fml-owner-result-list\"\u003e\n\u003cdiv\u003e\n\u003cdt\u003eAnnual owner income\u003c\/dt\u003e\n\u003cdd data-owner-output=\"annualOwnerIncome\"\u003e$453,433\u003c\/dd\u003e\n\u003c\/div\u003e\n\u003cdiv\u003e\n\u003cdt\u003eProfit before reserves\u003c\/dt\u003e\n\u003cdd data-owner-output=\"profitBeforeReserves\"\u003e$57,251\u003c\/dd\u003e\n\u003c\/div\u003e\n\u003cdiv\u003e\n\u003cdt\u003eTax + reinvestment reserve\u003c\/dt\u003e\n\u003cdd data-owner-output=\"reserveAmount\"\u003e$19,465\u003c\/dd\u003e\n\u003c\/div\u003e\n\u003cdiv\u003e\n\u003cdt\u003eTarget pay gap\u003c\/dt\u003e\n\u003cdd data-owner-output=\"cashAfterTargetPay\"\u003e$22,786\u003c\/dd\u003e\n\u003c\/div\u003e\n\u003c\/dl\u003e\n\u003cdiv class=\"fml-owner-bridge\"\u003e\n\u003cdiv class=\"fml-owner-bar-row\" data-owner-bridge=\"revenue\"\u003e\n\u003cspan\u003eRevenue\u003c\/span\u003e\u003cdiv\u003e\u003ci style=\"--fml-owner-share: 100%;\"\u003e\u003c\/i\u003e\u003c\/div\u003e\n\u003cb data-owner-bridge-value\u003e$208K\u003c\/b\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-bar-row\" data-owner-bridge=\"grossProfit\"\u003e\n\u003cspan\u003eGross profit\u003c\/span\u003e\u003cdiv\u003e\u003ci style=\"--fml-owner-share: 82%;\"\u003e\u003c\/i\u003e\u003c\/div\u003e\n\u003cb data-owner-bridge-value\u003e$170K\u003c\/b\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-bar-row\" data-owner-bridge=\"operatingCosts\"\u003e\n\u003cspan\u003eOperating costs\u003c\/span\u003e\u003cdiv\u003e\u003ci style=\"--fml-owner-share: 54%;\"\u003e\u003c\/i\u003e\u003c\/div\u003e\n\u003cb data-owner-bridge-value\u003e$113K\u003c\/b\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-bar-row\" data-owner-bridge=\"reserveAmount\"\u003e\n\u003cspan\u003eReserves\u003c\/span\u003e\u003cdiv\u003e\u003ci style=\"--fml-owner-share: 9%;\"\u003e\u003c\/i\u003e\u003c\/div\u003e\n\u003cb data-owner-bridge-value\u003e$19,465\u003c\/b\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-bar-row\" data-owner-bridge=\"ownerIncome\"\u003e\n\u003cspan\u003eOwner income\u003c\/span\u003e\u003cdiv\u003e\u003ci style=\"--fml-owner-share: 18%;\"\u003e\u003c\/i\u003e\u003c\/div\u003e\n\u003cb data-owner-bridge-value\u003e$37,786\u003c\/b\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cbutton class=\"fml-owner-export\" type=\"button\" data-owner-export\u003eEXPORT XLSX\u003c\/button\u003e\u003c\/aside\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-owner-note\"\u003e\n\u003cspan class=\"fml-owner-note-icon\" aria-hidden=\"true\"\u003e!\u003c\/span\u003e\u003cp\u003e\u003cstrong\u003ePlanning note:\u003c\/strong\u003e Research-based planning estimate only. It is not guaranteed salary, tax advice, or owner distribution advice. It excludes one-time startup capex, legal advice, and guaranteed case resolutions.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\u003c\/section\u003e\u003cbr\u003e\u003cdiv class=\"container_new_design_blog\"\u003e\n\n\u003cdiv class=\"text-section_blog text-2_new_design_blog\"\u003e\n\n\u003cdiv class=\"line_top_blog\"\u003e\u003cbr\u003e\u003c\/div\u003e\n\n\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eWant to see how owner income flows through the forecast?\u003c\/span\u003e\u003c\/h3\u003e\n\n\u003cp\u003eThis flow shows revenue, margin, costs, reserves, and \u003cstrong\u003eowner pay\u003c\/strong\u003e; open the \u003ca href=\"\/products\/investigative-genetic-genealogy-financial-model\"\u003eInvestigative Genetic Genealogy Service Financial Model Template\u003c\/a\u003e.\u003c\/p\u003e\n\n\u003ch4\u003eOwner-income model highlights\u003c\/h4\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003eRevenue charts: $116k-$658k\u003c\/li\u003e\n\u003cli\u003eGross margin: 80%-84%\u003c\/li\u003e\n\u003cli\u003ePayroll: $400k-$1.636M\u003c\/li\u003e\n\u003cli\u003eTests four case types\u003c\/li\u003e\n\u003cli\u003eOwner pay stays visible\u003c\/li\u003e\n\u003c\/ul\u003e\n\n\u003c\/div\u003e\n\n\u003cdiv class=\"image-section_blog image-2_new_design_blog\"\u003e\n\n\u003cdiv class=\"preview-card\" data-preview-src=\"\/cdn\/shop\/files\/investigative-genetic-genealogy-financial-model-dashboard-financialmodelslab_c08b5327-8a1b-4d3a-a5a0-89f4813f813a.webp\"\u003e\n\u003cimg class=\"preview-img\" width=\"100%\" height=\"auto\" src=\"\/cdn\/shop\/files\/investigative-genetic-genealogy-financial-model-dashboard-financialmodelslab_c08b5327-8a1b-4d3a-a5a0-89f4813f813a.webp?width=500\" alt=\"Investigative Genetic Genealogy Service Financial Model dashboard summarizes key KPIs, runway\/cash and performance with a dynamic dashboard, highlighting investor-ready charts and fixing cash-flow blind spots\"\u003e\n\u003cdiv class=\"preview-overlay\"\u003e\n\u003cbutton class=\"preview-btn\" type=\"button\" style=\"align-items: center; vertical-align: middle; display: inline-flex; justify-content: center; gap: 6px; line-height: 1;\"\u003e\nPREVIEW \u003csvg fill=\"#fff\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" aria-hidden=\"true\" focusable=\"false\" role=\"presentation\" viewbox=\"0 0 448 512\" width=\"14\"\u003e\u003cpath d=\"M416 176V86.63L246.6 256L416 425.4V336c0-8.844 7.156-16 16-16s16 7.156 16 16v128c0 8.844-7.156 16-16 16h-128c-8.844 0-16-7.156-16-16s7.156-16 16-16h89.38L224 278.6L54.63 448H144C152.8 448 160 455.2 160 464S152.8 480 144 480h-128C7.156 480 0 472.8 0 464v-128C0 327.2 7.156 320 16 320S32 327.2 32 336v89.38L201.4 256L32 86.63V176C32 184.8 24.84 192 16 192S0 184.8 0 176v-128C0 39.16 7.156 32 16 32h128C152.8 32 160 39.16 160 48S152.8 64 144 64H54.63L224 233.4L393.4 64H304C295.2 64 288 56.84 288 48S295.2 32 304 32h128C440.8 32 448 39.16 448 48v128C448 184.8 440.8 192 432 192S416 184.8 416 176z\"\u003e\u003c\/path\u003e\u003c\/svg\u003e\n\u003c\/button\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\n\u003c\/div\u003e\n\u003c\/div\u003e\n\n\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eHow much can an investigative genetic genealogy business owner make?\u003c\/span\u003e\u003c\/h2\u003e\u003cbr\u003e\n\u003cp\u003eAn Investigative Genetic Genealogy Service owner can target \u003cstrong\u003e$180,000 in annual payroll\u003c\/strong\u003e, but the stated model does not fund that pay from operating profit in Year 1. For startup cost context, see \u003ca href=\"\/blogs\/startup-costs\/investigative-genetic-genealogy\"\u003eHow Much To Launch Investigative Genetic Genealogy Service Business?\u003c\/a\u003e; the real driver is paid case volume, not the salary target.\u003c\/p\u003e\n\u003cdiv class=\"container_2_clmn_row\"\u003e\n\u003cdiv class=\"card_smpl blue_card\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-colons-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eModeled earnings\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003e\n\u003cstrong\u003e$180,000\u003c\/strong\u003e annual owner payroll target\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e9\u003c\/strong\u003e acquired cases in Year 1\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e$116,000\u003c\/strong\u003e Year 1 revenue\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e$93,000\u003c\/strong\u003e Year 1 gross profit\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"card_smpl\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-intro-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eUpside drivers\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003e\n\u003cstrong\u003e31\u003c\/strong\u003e acquired cases by Year 5\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e$658,000\u003c\/strong\u003e Year 5 revenue\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e$553,000\u003c\/strong\u003e Year 5 gross profit\u003c\/li\u003e\n\u003cli\u003ePay depends on cash reserves\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eWhat profit margin can an investigative genetic genealogy service earn?\u003c\/span\u003e\u003c\/h2\u003e\u003cbr\u003e\n\u003cp\u003eAn \u003cstrong\u003eInvestigative Genetic Genealogy Service\u003c\/strong\u003e can show a strong gross margin, but profit gets squeezed fast once overhead hits. On direct DNA lab and database costs alone, gross margin is \u003cstrong\u003e80%\u003c\/strong\u003e in Year 1, then \u003cstrong\u003e81%\u003c\/strong\u003e, \u003cstrong\u003e82%\u003c\/strong\u003e, \u003cstrong\u003e83%\u003c\/strong\u003e, and \u003cstrong\u003e84%\u003c\/strong\u003e by Year 5; for the KPI view, see \u003ca href=\"\/blogs\/kpi-metrics\/investigative-genetic-genealogy\"\u003eWhat Are The 5 KPIs For Investigative Genetic Genealogy Service Business?\u003c\/a\u003e. The real pressure is operating expense: fixed overhead is \u003cstrong\u003e$288,600\u003c\/strong\u003e a year, payroll rises from \u003cstrong\u003e$400,000\u003c\/strong\u003e in Year 1 to \u003cstrong\u003e$1.636 million\u003c\/strong\u003e in Year 5, marketing and business development add \u003cstrong\u003e8%\u003c\/strong\u003e of revenue in Year 1, and legal and compliance consulting adds \u003cstrong\u003e35%\u003c\/strong\u003e.\u003c\/p\u003e\n\u003cdiv class=\"container_2_clmn_row\"\u003e\n\u003cdiv class=\"card_smpl blue_card\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-colons-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eDirect margin stays high\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003e\n\u003cstrong\u003e80%\u003c\/strong\u003e gross margin in Year 1\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e81%\u003c\/strong\u003e gross margin in Year 2\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e82%\u003c\/strong\u003e gross margin in Year 3\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e84%\u003c\/strong\u003e gross margin in Year 5\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"card_smpl\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-intro-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eOverhead drives profit\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003e\n\u003cstrong\u003e$288,600\u003c\/strong\u003e fixed overhead yearly\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e$400,000\u003c\/strong\u003e payroll in Year 1\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e8%\u003c\/strong\u003e of revenue for marketing\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003e35%\u003c\/strong\u003e for legal and compliance\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eCan an investigative genetic genealogy business scale beyond the owner?\u003c\/span\u003e\u003c\/h2\u003e\u003cbr\u003e\n\u003cp\u003eThe \u003cstrong\u003eInvestigative Genetic Genealogy Service\u003c\/strong\u003e can scale beyond the owner, but it does it with more people, more review, and more cash strain. In this researched case, \u003cstrong\u003epayroll\u003c\/strong\u003e rises from \u003cstrong\u003e$400,000\u003c\/strong\u003e in Year 1 to \u003cstrong\u003e$1.636 million\u003c\/strong\u003e in Year 5, while revenue grows from about \u003cstrong\u003e$116,000\u003c\/strong\u003e to \u003cstrong\u003e$658,000\u003c\/strong\u003e.\u003c\/p\u003e\n\u003cdiv class=\"container_2_clmn_row\"\u003e\n\u003cdiv class=\"card_smpl\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-intro-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eScale drivers\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003eAdd \u003cstrong\u003esenior genealogists\u003c\/strong\u003e for harder cases.\u003c\/li\u003e\n\u003cli\u003eUse \u003cstrong\u003ecase managers\u003c\/strong\u003e to keep work moving.\u003c\/li\u003e\n\u003cli\u003eBring in \u003cstrong\u003edata analysis\u003c\/strong\u003e support.\u003c\/li\u003e\n\u003cli\u003ePipeline analysts expand case capacity.\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"card_smpl blue_card\"\u003e\n\u003cdiv class=\"card_smpl_header\"\u003e\n\u003cimg src=\"\/cdn\/shop\/files\/fml_20_fml-Orange-blog-colons-icon.svg\" alt=\"Icon\" class=\"icon_how_to_use\"\u003e\u003ch3\u003eGrowth limits\u003c\/h3\u003e\n\u003c\/div\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003eMore review time slows delivery.\u003c\/li\u003e\n\u003cli\u003eTraining raises overhead fast.\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003eQuality control\u003c\/strong\u003e adds extra steps.\u003c\/li\u003e\n\u003cli\u003eProcurement cycles and researcher supply cap growth.\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003cbr\u003e\n\n\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eWant the six drivers that move owner pay most?\n\u003c\/span\u003e\u003c\/h2\u003e\n\u003csection class=\"fml-main-income-drivers\" aria-label=\"Main income drivers for investigative genetic genealogy service\"\u003e\u003carticle class=\"driver-option is-cards\"\u003e\u003cdiv class=\"main-driver-grid\"\u003e\n\u003carticle class=\"main-driver-card is-primary\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e1\u003c\/span\u003e\u003ch4\u003ePaid Cases\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e9-31 cases\u003c\/strong\u003e\u003cp\u003eThis is the main lever: moving from 9 to 31 acquired cases drives most of the revenue jump.\u003c\/p\u003e\u003c\/article\u003e\u003carticle class=\"main-driver-card\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e2\u003c\/span\u003e\u003ch4\u003eCase Fee Mix\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e$13.2K-$21.2K\u003c\/strong\u003e\u003cp\u003eA shift toward higher-fee matters lifts average case revenue from about $13.2K to $21.2K.\u003c\/p\u003e\u003c\/article\u003e\u003carticle class=\"main-driver-card\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e3\u003c\/span\u003e\u003ch4\u003eResearch Efficiency\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e80%-84%\u003c\/strong\u003e\u003cp\u003eFaster research and simpler cases hold gross margin near 80% to 84% before overhead.\u003c\/p\u003e\u003c\/article\u003e\u003carticle class=\"main-driver-card\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e4\u003c\/span\u003e\u003ch4\u003eDNA Costs\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e16%-20%\u003c\/strong\u003e\u003cp\u003eThird-party lab fees and database subscriptions run about 16% to 20% of revenue, so small cuts add profit.\u003c\/p\u003e\u003c\/article\u003e\u003carticle class=\"main-driver-card\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e5\u003c\/span\u003e\u003ch4\u003eOwner Staffing\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e$180K\u003c\/strong\u003e\u003cp\u003eKeeping the founder in key casework and adding analysts only as volume grows helps protect the $180K pay target.\u003c\/p\u003e\u003c\/article\u003e\u003carticle class=\"main-driver-card\"\u003e\u003cdiv class=\"main-driver-heading\"\u003e\n\u003cspan class=\"driver-rank\"\u003e6\u003c\/span\u003e\u003ch4\u003eCash Timing\u003c\/h4\u003e\n\u003c\/div\u003e\n\u003cstrong\u003e-$98K\u003c\/strong\u003e\u003cp\u003eStronger contract terms and reserves matter because cash can dip to negative $98K around month 31.\u003c\/p\u003e\u003c\/article\u003e\n\u003c\/div\u003e\u003c\/article\u003e\u003c\/section\u003e\u003cbr\u003e\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eInvestigative Genetic Genealogy Service Core Six Income Drivers\u003c\/span\u003e\u003c\/h2\u003e\u003cbr\u003e\u003cbr\u003e\n\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eQualified Paid Case Volume\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n  \u003cdiv class=\"left-row1\"\u003e\n    \u003ch3\u003eQualified Paid Case Volume\u003c\/h3\u003e\n    \u003cp\u003eFor an investigative genetic genealogy service, revenue starts with \u003cstrong\u003equalified paid cases\u003c\/strong\u003e, not inquiries. The model here points to about \u003cstrong\u003e9 paid cases in Year 1\u003c\/strong\u003e from a \u003cstrong\u003e$75,000\u003c\/strong\u003e marketing budget and \u003cstrong\u003e$8,500 CAC\u003c\/strong\u003e (customer acquisition cost), then about \u003cstrong\u003e31 cases in Year 5\u003c\/strong\u003e from \u003cstrong\u003e$180,000\u003c\/strong\u003e of spend and \u003cstrong\u003e$5,800 CAC\u003c\/strong\u003e.\u003c\/p\u003e\n    \u003cp\u003eThat means owner income rises only when case flow clears the gate: agency need, legal and ethical fit, data access, sample quality, and research feasibility. Unpaid public interest should not be counted as pipeline, because it can consume screening time without creating billable hours, margin, or cash for draws.\u003c\/p\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"right-row1\"\u003e\n    \u003cdiv class=\"tips-box\"\u003e\n      \u003ch3\u003eTrack Only Paid, Fit Cases\u003c\/h3\u003e\n      \u003cp\u003eMeasure the full funnel: inquiry, screened, qualified, contracted, and paid. Here’s the quick math: if a channel brings in leads but most fail fit checks, CAC rises and owner pay drops even when the inbox looks busy. A lower case count with better fit is better than noisy volume that never bills.\u003c\/p\u003e\n      \u003cul class=\"lst_crct_blog\"\u003e\n        \u003cli\u003eTrack inquiry-to-contract conversion.\u003c\/li\u003e\n        \u003cli\u003eTag disqualifying reasons.\u003c\/li\u003e\n        \u003cli\u003eSeparate unpaid public interest.\u003c\/li\u003e\n        \u003cli\u003eReview CAC by source monthly.\u003c\/li\u003e\n      \u003c\/ul\u003e\n      \u003cp\u003eUse those numbers to forecast billable hours and cash. If the team needs to screen many bad-fit cases, the owner is paying for sales work that never reaches revenue. The goal is a steady stream of \u003cstrong\u003epaid, research-feasible cases\u003c\/strong\u003e that support margin and keep draws funded.\u003c\/p\u003e\n    \u003c\/div\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n  \u003cdiv class=\"step-circle step1\"\u003e1\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eAverage Case Fee And Pricing Mix\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n\u003cdiv class=\"right-row2\"\u003e\n\u003ch3\u003eAverage Case Fee Mix\u003c\/h3\u003e\n\u003cp\u003e\u003cstrong\u003eAverage revenue per case\u003c\/strong\u003e is the main pricing lever here. In Year 1, cold cases at \u003cstrong\u003e85 hours × $185\u003c\/strong\u003e, unidentified remains at \u003cstrong\u003e65 hours × $165\u003c\/strong\u003e, expert witness work at \u003cstrong\u003e25 hours × $275\u003c\/strong\u003e, and federal agency cases at \u003cstrong\u003e120 hours × $220\u003c\/strong\u003e blend to about \u003cstrong\u003e$13,200 per case\u003c\/strong\u003e. If the mix shifts toward more complex matters, owner income rises even before headcount grows.\u003c\/p\u003e\n\u003cp\u003eThis driver depends on case type, billable hours, reporting, testimony support, and research difficulty. A fixed universal price can undercharge hard cases and squeeze gross margin when scope expands, so profit and cash left for owner pay drop fast. By Year 5, the blended average is about \u003cstrong\u003e$21,200 per case\u003c\/strong\u003e, or roughly \u003cstrong\u003e61%\u003c\/strong\u003e higher than Year 1.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"left-row2\"\u003e\n\u003cdiv class=\"tips-box\"\u003e\n\u003ch3\u003ePrice To Scope\u003c\/h3\u003e\n\u003cp\u003eTrack \u003cstrong\u003erealized fee per closed case\u003c\/strong\u003e, hours by case type, and add-on work for reports and testimony. Quote from scope, not from a single flat price. Keep separate rates for investigation, reporting, and witness support, then reforecast by case mix each quarter so revenue lines up with labor cost and owner draw.\u003c\/p\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003eMeasure fee per case by type.\u003c\/li\u003e\n\u003cli\u003eLog billable hours weekly.\u003c\/li\u003e\n\u003cli\u003ePrice testimony as a separate line.\u003c\/li\u003e\n\u003cli\u003eUpdate mix assumptions quarterly.\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n\u003cdiv class=\"step-circle step2\"\u003e2\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eResearch Efficiency And Case Complexity\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n\u003cdiv class=\"left-row3\"\u003e\n\u003ch3\u003eResearch Efficiency and Case Complexity\u003c\/h3\u003e\n\u003cp\u003e\u003cstrong\u003eResearch hours\u003c\/strong\u003e drive margin here because the service sells expert time plus case deliverables. Planned billable hours run from \u003cstrong\u003e25\u003c\/strong\u003e for expert witness work to \u003cstrong\u003e120\u003c\/strong\u003e for federal agency cases in Year 1, then \u003cstrong\u003e35 to 140\u003c\/strong\u003e in Year 5. More hours can raise revenue, but only if they stay billable and produce usable work. \u003cstrong\u003eOne wasted hour is pure margin loss.\u003c\/strong\u003e\u003c\/p\u003e\n\u003cp\u003eComplex cases with distant DNA matches, family tree reconstruction, unknown parentage, records gaps, and sample issues can eat both billable and unbillable time. \u003cstrong\u003eSpeed does not guarantee identification\u003c\/strong\u003e, so the owner’s income depends on how much of each case turns into paid research instead of cleanup, rework, or dead ends. If complexity rises faster than pricing discipline, take-home pay gets squeezed.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"right-row3\"\u003e\n\u003cdiv class=\"tips-box\"\u003e\n\u003ch3\u003eTrack Hours by Case Type\u003c\/h3\u003e\n\u003cp\u003eMeasure \u003cstrong\u003ebillable hours\u003c\/strong\u003e, \u003cstrong\u003eunbilled hours\u003c\/strong\u003e, turnaround days, and rework by case type. Estimate this driver with case count, hour mix, and labor intensity, not just inquiries. A case that looks simple at intake can turn into a long tree build or records chase, and that shifts profit fast. \u003cstrong\u003eWhat gets tracked gets priced.\u003c\/strong\u003e\u003c\/p\u003e\n\u003cul class=\"lst_crct_blog\"\u003e\n\u003cli\u003eTrack hours by case type.\u003c\/li\u003e\n\u003cli\u003eSeparate billable and unbilled time.\u003c\/li\u003e\n\u003cli\u003eFlag match distance and record gaps.\u003c\/li\u003e\n\u003cli\u003eReview quality before pushing speed.\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003cp\u003ePrice for scope, not hope. If a team can reduce cycle time without losing accuracy, cash returns sooner and owner draw gets safer; if not, faster work just hides errors and creates more cleanup later. Use the data to spot which case types consume the most time per delivered result, then staff and forecast from that reality.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n\u003cdiv class=\"step-circle step3\"\u003e3\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eDirect DNA Lab And Data Costs\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n  \u003cdiv class=\"right-row4\"\u003e\n    \u003ch3\u003eDNA Lab And Data Spend\u003c\/h3\u003e\n    \u003cp\u003eThis driver covers third-party DNA lab fees and database access or subscriptions, not overhead. At \u003cstrong\u003e12%\u003c\/strong\u003e of revenue in Year 1 plus \u003cstrong\u003e8%\u003c\/strong\u003e for data access, direct case costs take \u003cstrong\u003e20%\u003c\/strong\u003e of revenue and leave \u003cstrong\u003e80%\u003c\/strong\u003e gross margin. By Year 5, those costs fall to \u003cstrong\u003e10%\u003c\/strong\u003e and \u003cstrong\u003e6%\u003c\/strong\u003e, so margin improves to \u003cstrong\u003e84%\u003c\/strong\u003e.\u003c\/p\u003e\n    \u003cp\u003eHere’s the quick math: if a blended case brings in about \u003cstrong\u003e$13,200\u003c\/strong\u003e, Year 1 direct costs are about \u003cstrong\u003e$2,640\u003c\/strong\u003e. At \u003cstrong\u003e$21,200\u003c\/strong\u003e in Year 5, they rise to about \u003cstrong\u003e$3,392\u003c\/strong\u003e, but the percentage stays leaner. Lower direct costs free cash for payroll and owner pay, but only if rent, IT, insurance, and travel stay in overhead.\u003c\/p\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"left-row4\"\u003e\n    \u003cdiv class=\"tips-box\"\u003e\n      \u003ch3\u003eControl Direct Case Spend\u003c\/h3\u003e\n      \u003cp\u003eTrack lab fee and subscription cost per closed case, then compare it to case revenue and case type. If a case needs heavier database use, price it so direct costs stay near \u003cstrong\u003e20%\u003c\/strong\u003e in Year 1 and trend toward \u003cstrong\u003e16%\u003c\/strong\u003e. Review vendor invoices monthly and keep them separate from fixed overhead.\u003c\/p\u003e\n      \u003cp\u003eTest vendor tiers, subscription plans, and case routing rules. If a sample is weak or a database match is unlikely, flag it early so unbillable lab spend does not eat margin. One clean rule helps: no case should move without a cost estimate, because every extra point of direct cost cuts cash available for distributions.\u003c\/p\u003e\n    \u003c\/div\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n  \u003cdiv class=\"step-circle step4\"\u003e4\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eOwner Labor Versus Analyst Staffing\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n  \u003cdiv class=\"left-row5\"\u003e\n    \u003ch3\u003eOwner Labor vs Analyst Staffing\u003c\/h3\u003e\n    \u003cp\u003eOwner income gets squeezed when analyst staffing grows faster than \u003cstrong\u003epaid case volume\u003c\/strong\u003e. Researched payroll rises from \u003cstrong\u003e$400,000\u003c\/strong\u003e in Year 1 to \u003cstrong\u003e$1.636 million\u003c\/strong\u003e in Year 5, and every hire adds review, training, supervision, and quality-control work. Roles like lead genealogist, senior genealogists, case managers, business development, data analysis, operations, junior genealogists, and administration only help pay if the case load and billing rate support them.\u003c\/p\u003e\n    \u003cp\u003eHere’s the quick math: more headcount raises capacity, but not owner pay by itself. If pricing, utilization, or qualified paid cases lag, payroll becomes a fixed drag and cash tightens before profit reaches the owner. The real risk is staffing ahead of the pipeline, since unpaid public interest work does not fund salaries.\u003c\/p\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"right-row5\"\u003e\n    \u003cdiv class=\"tips-box\"\u003e\n      \u003ch3\u003eStaff to Paid Case Volume\u003c\/h3\u003e\n      \u003cp\u003eHire against\nbooked work, not inquiry count. Track \u003cstrong\u003epaid cases\u003c\/strong\u003e, billable hours per role, and review time, then compare them to payroll each month. If a new analyst cannot stay busy on active matters, pause hiring or shift work into existing seats. That keeps labor from outrunning revenue.\u003c\/p\u003e\n      \u003cp\u003eUse a simple rule: each role should cover its salary plus the extra oversight it creates. Put complex cases with senior staff, keep junior work on documented steps, and watch rework closely. If owner time moves from case work into supervision, that is a real cost and should be priced into the case model.\u003c\/p\u003e\n    \u003c\/div\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n  \u003cdiv class=\"step-circle step5\"\u003e5\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003ch3\u003e\u003cspan style=\"color: #126CFF;\"\u003eContract Timing And Cash Reserves\u003c\/span\u003e\u003c\/h3\u003e\u003cbr\u003e\n\u003cdiv class=\"container_new_design_timeline\"\u003e\n  \u003cdiv class=\"right-row6\"\u003e\n    \u003ch3\u003eCash Timing Drives Owner Pay\u003c\/h3\u003e\n    \u003cp\u003eFor an investigative genetic genealogy service, \u003cstrong\u003ecash timing\u003c\/strong\u003e controls how much profit can safely become owner take-home. Law enforcement contracts, grant-funded cases, municipal procurement, retainers, and \u003cstrong\u003eaccounts receivable\u003c\/strong\u003e can book revenue first and pay later, so paper profit can look strong while cash stays tight. A one-month reserve is \u003cstrong\u003e$24,050\u003c\/strong\u003e in Year 1 fixed overhead alone, before payroll.\u003c\/p\u003e\n    \u003cp\u003eHere’s the quick math: if a case pays late, the business still has rent, software, insurance, and admin costs to cover. A reserve policy should sit ahead of distributions. If payment timing stretches, the owner may need to \u003cstrong\u003edefer draws\u003c\/strong\u003e, slow hiring, or require retainers. \u003cstrong\u003eProfit on paper is not cash in the bank.\u003c\/strong\u003e\u003c\/p\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"left-row6\"\u003e\n    \u003cdiv class=\"tips-box\"\u003e\n      \u003ch3\u003eProtect Cash Before You Pay Yourself\u003c\/h3\u003e\n      \u003cp\u003eTrack the inputs that drive cash strain: contract start date, invoice date, payment terms, retainer size, days sales outstanding, and open receivables. The key test is whether expected collections can cover at least \u003cstrong\u003e$24,050 per month\u003c\/strong\u003e before payroll. If not, owner draws should wait until cash converts, not when work is billed.\u003c\/p\u003e\n      \u003cp\u003eBuild a simple rule set:\u003c\/p\u003e\n      \u003cul class=\"lst_crct_blog\"\u003e\n        \u003cli\u003eRequire retainers on slower payers.\u003c\/li\u003e\n        \u003cli\u003eForecast cash by invoice date.\u003c\/li\u003e\n        \u003cli\u003eReview receivables every week.\u003c\/li\u003e\n        \u003cli\u003eHold distributions until reserves are funded.\u003c\/li\u003e\n      \u003c\/ul\u003e\n      \u003cp\u003eWhen payment delays widen, the real risk is not low revenue; it’s a short cash runway that forces rushed hiring cuts or unpaid owner labor.\u003c\/p\u003e\n    \u003c\/div\u003e\n  \u003c\/div\u003e\n  \u003cdiv class=\"timeline\"\u003e\u003c\/div\u003e\n  \u003cdiv class=\"step-circle step6\"\u003e6\u003c\/div\u003e\n\u003c\/div\u003e\u003cbr\u003e\u003cbr\u003e\u003cbr\u003e\u003ch2\u003e\u003cspan style=\"color: #126CFF;\"\u003eCompare lean, base, and high owner income scenarios\n\u003c\/span\u003e\u003c\/h2\u003e\n\u003csection class=\"fml-scenario-table\" aria-label=\"Investigative Genetic Genealogy Service Owner Income Scenarios\" data-site-name=\"Financial Models Lab\" data-site-url=\"https:\/\/financialmodelslab.com\" data-source-title=\"Investigative Genetic Genealogy Service Owner Income Scenarios\" data-note-label=\"Planning note\" data-note-text=\"Scenario ranges are researched planning assumptions, not guaranteed earnings, salary promises, tax advice, or distributions.\"\u003e\u003cdiv class=\"fml-scenario-table-card\"\u003e\n\u003cheader class=\"fml-scenario-table-header\"\u003e\u003cdiv\u003e\n\u003cp class=\"fml-scenario-table-eyebrow\"\u003eOwner income scenarios\u003c\/p\u003e\n\u003cp class=\"fml-scenario-table-description\"\u003eEarly case counts leave owner take-home at zero because fixed overhead and payroll absorb gross profit. At Year 1 economics, the model looks under-scale until volume reaches roughly 76 to 89 cases a year.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003cdiv class=\"fml-scenario-table-actions\"\u003e\u003cbutton class=\"fml-scenario-table-export\" type=\"button\" data-scenario-export\u003eEXPORT XLSX\u003c\/button\u003e\u003c\/div\u003e\u003c\/header\u003e\u003cdiv class=\"fml-scenario-table-wrap\"\u003e\u003ctable class=\"fml-scenario-table-grid\"\u003e\n\u003ccaption\u003eCompare low, base, and high owner take-home assumptions.\u003c\/caption\u003e\n\u003cthead\u003e\u003ctr\u003e\n\u003cth class=\"fml-scenario-table-stub\" scope=\"col\" data-export-value=\"Scenario\"\u003eScenario\u003c\/th\u003e\n\u003cth class=\"fml-scenario-table-column\" scope=\"col\" data-export-value=\"Low Case\"\u003e\n\u003cspan class=\"fml-scenario-column-title\"\u003eLow Case\u003c\/span\u003e\u003cspan class=\"fml-scenario-badge is-soft\"\u003eDownside\u003c\/span\u003e\n\u003c\/th\u003e\n\u003cth class=\"fml-scenario-table-column\" scope=\"col\" data-export-value=\"Base Case\"\u003e\n\u003cspan class=\"fml-scenario-column-title\"\u003eBase Case\u003c\/span\u003e\u003cspan class=\"fml-scenario-badge is-soft\"\u003eMiddle path\u003c\/span\u003e\n\u003c\/th\u003e\n\u003cth class=\"fml-scenario-table-column\" scope=\"col\" data-export-value=\"High Case\"\u003e\n\u003cspan class=\"fml-scenario-column-title\"\u003eHigh Case\u003c\/span\u003e\u003cspan class=\"fml-scenario-badge is-warning\"\u003eUpside\u003c\/span\u003e\n\u003c\/th\u003e\n\u003c\/tr\u003e\u003c\/thead\u003e\n\u003ctbody\u003e\n\u003ctr data-scenario-row\u003e\n\u003cth class=\"fml-scenario-row-heading\" scope=\"row\" data-export-value=\"Launch model\"\u003e\u003cspan class=\"fml-scenario-row-heading-inner\"\u003e\u003cspan class=\"fml-scenario-row-icon is-launch\" aria-hidden=\"true\"\u003e\u003cimg class=\"fml-scenario-row-icon-img\" src=\"\/cdn\/shop\/files\/scenario-launch-model.svg\" alt=\"Launch model icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003e\u003cspan class=\"fml-scenario-row-title\"\u003eLaunch model\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003c\/th\u003e\n\u003ctd data-export-value=\"This is a lower-earning path with a small case book and no operating-funded owner take-home.\"\u003eThis is a lower-earning path with a small case book and no operating-funded owner take-home.\u003c\/td\u003e\n\u003ctd data-export-value=\"This is the modeled middle path where revenue grows, but owner take-home still stays at zero.\"\u003eThis is the modeled middle path where revenue grows, but owner take-home still stays at zero.\u003c\/td\u003e\n\u003ctd data-export-value=\"This is the stronger operating path with more cases and higher margin, but owner take-home still stays inside the business.\"\u003eThis is the stronger operating path with more cases and higher margin, but owner take-home still stays inside the business.\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr data-scenario-row\u003e\n\u003cth class=\"fml-scenario-row-heading\" scope=\"row\" data-export-value=\"Typical setup\"\u003e\u003cspan class=\"fml-scenario-row-heading-inner\"\u003e\u003cspan class=\"fml-scenario-row-icon is-setup\" aria-hidden=\"true\"\u003e\u003cimg class=\"fml-scenario-row-icon-img\" src=\"\/cdn\/shop\/files\/scenario-typical-setup.svg\" alt=\"Typical setup icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003e\u003cspan class=\"fml-scenario-row-title\"\u003eTypical setup\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003c\/th\u003e\n\u003ctd data-export-value=\"About 9 cases, $116,000 revenue, 80% gross margin, $288,600 fixed overhead, and $400,000 payroll leave no operating-funded owner take-home.\"\u003eAbout 9 cases, $116,000 revenue, 80% gross margin, $288,600 fixed overhead, and $400,000 payroll leave no operating-funded owner take-home.\u003c\/td\u003e\n\u003ctd data-export-value=\"About 18 cases, $313,000 revenue, 82% gross margin, about $1.122 million payroll, and no reserve-adjusted owner take-home.\"\u003eAbout 18 cases, $313,000 revenue, 82% gross margin, about $1.122 million payroll, and no reserve-adjusted owner take-home.\u003c\/td\u003e\n\u003ctd data-export-value=\"About 31 cases, $658,000 revenue, 84% gross margin, about $1.636 million payroll, and no reserve-adjusted owner take-home.\"\u003eAbout 31 cases, $658,000 revenue, 84% gross margin, about $1.636 million payroll, and no reserve-adjusted owner take-home.\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr data-scenario-row\u003e\n\u003cth class=\"fml-scenario-row-heading\" scope=\"row\" data-export-value=\"Cost drivers\"\u003e\u003cspan class=\"fml-scenario-row-heading-inner\"\u003e\u003cspan class=\"fml-scenario-row-icon is-drivers\" aria-hidden=\"true\"\u003e\u003cimg class=\"fml-scenario-row-icon-img\" src=\"\/cdn\/shop\/files\/scenario-cost-drivers.svg\" alt=\"Cost drivers icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003e\u003cspan class=\"fml-scenario-row-title\"\u003eCost drivers\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003c\/th\u003e\n\u003ctd data-export-value=\"Case count; fixed overhead; payroll; lab and database spend\"\u003e\u003cul class=\"fml-scenario-list\"\u003e\n\u003cli\u003eCase count\u003c\/li\u003e\n\u003cli\u003efixed overhead\u003c\/li\u003e\n\u003cli\u003epayroll\u003c\/li\u003e\n\u003cli\u003elab and database spend\u003c\/li\u003e\n\u003c\/ul\u003e\u003c\/td\u003e\n\u003ctd data-export-value=\"Case count; staffing mix; fixed overhead; lab and database spend\"\u003e\u003cul class=\"fml-scenario-list\"\u003e\n\u003cli\u003eCase count\u003c\/li\u003e\n\u003cli\u003estaffing mix\u003c\/li\u003e\n\u003cli\u003efixed overhead\u003c\/li\u003e\n\u003cli\u003elab and database spend\u003c\/li\u003e\n\u003c\/ul\u003e\u003c\/td\u003e\n\u003ctd data-export-value=\"Case count; senior staff mix; compliance cost; marketing spend\"\u003e\u003cul class=\"fml-scenario-list\"\u003e\n\u003cli\u003eCase count\u003c\/li\u003e\n\u003cli\u003esenior staff mix\u003c\/li\u003e\n\u003cli\u003ecompliance cost\u003c\/li\u003e\n\u003cli\u003emarketing spend\u003c\/li\u003e\n\u003c\/ul\u003e\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr data-scenario-row\u003e\n\u003cth class=\"fml-scenario-row-heading\" scope=\"row\" data-export-value=\"Owner income range\"\u003e\u003cspan class=\"fml-scenario-row-heading-inner\"\u003e\u003cspan class=\"fml-scenario-row-icon is-range\" aria-hidden=\"true\"\u003e\u003cimg class=\"fml-scenario-row-icon-img\" src=\"\/cdn\/shop\/files\/scenario-planning-range.svg\" alt=\"Owner income range icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003e\u003cspan class=\"fml-scenario-row-title\"\u003eOwner income range\u003c\/span\u003e\u003cspan class=\"fml-scenario-row-subtitle\"\u003eBefore owner reserves\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003c\/th\u003e\n\u003ctd data-export-value=\"$0\"\u003e\n\u003cstrong class=\"fml-scenario-range\"\u003e$0\u003c\/strong\u003e\u003cspan class=\"fml-scenario-badge is-soft\"\u003eNo take-home\u003c\/span\u003e\n\u003c\/td\u003e\n\u003ctd data-export-value=\"$0\"\u003e\n\u003cstrong class=\"fml-scenario-range\"\u003e$0\u003c\/strong\u003e\u003cspan class=\"fml-scenario-badge is-soft\"\u003eStill zero\u003c\/span\u003e\n\u003c\/td\u003e\n\u003ctd data-export-value=\"$0\"\u003e\n\u003cstrong class=\"fml-scenario-range\"\u003e$0\u003c\/strong\u003e\u003cspan class=\"fml-scenario-badge is-warning\"\u003eScale still required\u003c\/span\u003e\n\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr data-scenario-row\u003e\n\u003cth class=\"fml-scenario-row-heading\" scope=\"row\" data-export-value=\"Best fit\"\u003e\u003cspan class=\"fml-scenario-row-heading-inner\"\u003e\u003cspan class=\"fml-scenario-row-icon is-fit\" aria-hidden=\"true\"\u003e\u003cimg class=\"fml-scenario-row-icon-img\" src=\"\/cdn\/shop\/files\/scenario-best-fit.svg\" alt=\"Best fit icon\" loading=\"lazy\"\u003e\u003c\/span\u003e\u003cspan\u003e\u003cspan class=\"fml-scenario-row-title\"\u003eBest fit\u003c\/span\u003e\u003c\/span\u003e\u003c\/span\u003e\u003c\/th\u003e\n\u003ctd data-export-value=\"Use this to stress-test a thin pipeline and see how long the owner must self-fund.\"\u003eUse this to stress-test a thin pipeline and see how long the owner must self-fund.\u003c\/td\u003e\n\u003ctd data-export-value=\"Use this as the core operating case for planning hiring, cash use, and reinvestment.\"\u003eUse this as the core operating case for planning hiring, cash use, and reinvestment.\u003c\/td\u003e\n\u003ctd data-export-value=\"Use this to test higher volume and later-stage hiring without assuming owner distributions.\"\u003eUse this to test higher volume and later-stage hiring without assuming owner distributions.\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003c\/tbody\u003e\n\u003c\/table\u003e\u003c\/div\u003e\n\u003cdiv class=\"fml-scenario-table-note\"\u003e\n\u003cspan class=\"fml-scenario-table-note-icon\" aria-hidden=\"true\"\u003e!\u003c\/span\u003e\u003cp\u003e\u003cstrong\u003ePlanning note:\u003c\/strong\u003e Scenario ranges are researched planning assumptions, not guaranteed earnings, salary promises, tax advice, or distributions.\u003c\/p\u003e\n\u003c\/div\u003e\n\u003c\/div\u003e\u003c\/section\u003e","brand":"FinancialModelsLab","offers":[{"title":"Default Title","offer_id":49303915299059,"sku":"investigative-genetic-genealogy-owner-makes","price":0.0,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0522\/6191\/2762\/files\/investigative-genetic-genealogy-owner-makes.webp?v=1782685197","url":"https:\/\/financialmodelslab.com\/products\/investigative-genetic-genealogy-owner-makes","provider":"Financial Models Lab","version":"1.0","type":"link"}