A Sales Qualified Lead (SQL) is a prospect that has been vetted by marketing or sales development and deemed ready for direct engagement by a sales representative. It means the lead has shown sufficient intent, fit, and readiness to enter the sales process.
An SQL is a lead that’s no longer just interested-they’re potentially buying.
SQLs sit in the middle of the funnel, after initial marketing engagement but before pipeline creation (i.e., opportunity stage).
SQL in the lead lifecycle
Visitor → Lead → MQL → SQL → Opportunity → Closed Won/Lost
| Stage |
Definition |
| Lead |
Basic contact captured via form, ad, or list |
| MQL (Marketing Qualified Lead) |
Engaged, ICP-fit lead based on activity or scoring |
| SQL (Sales Qualified Lead) |
Accepted by sales as worthy of outreach or demo |
| Opportunity |
Confirmed sales process has begun, often tied to a forecasted deal |
SQL criteria: What qualifies a lead for sales?
Criteria vary by company, but typically include a mix of:
| Category |
Examples |
| Firmographics |
Company size, industry, location |
| Demographics |
Seniority, department (e.g., “VP of Finance”) |
| Behavioral signals |
Booked demo, replied to SDR, downloaded pricing |
| Scoring threshold |
Reached X points in lead scoring model |
| Intent data |
3rd-party research or high intent keywords |
Some orgs use qualification frameworks like BANT, CHAMP, or MEDDPICC to assess SQL quality further.
Who owns the SQL definition?
| Role |
Contribution |
| Marketing Ops |
Sets lead scoring rules, maintains CRM fields |
| Sales Development (SDRs) |
Screens and qualifies leads through outreach |
| RevOps |
Ensures alignment and reporting integrity |
| Sales leadership |
Approves handover rules and capacity limits |
Best-in-class companies review SQL definitions quarterly-especially during market shifts, product launches, or GTM pivots.
SQL metrics to track
| Metric |
Why it matters |
| # of SQLs/month |
Core volume indicator |
| SQL-to-Opportunity Rate |
Measures lead quality |
| SQL-to-Win Rate |
Indicates how well qualification maps to buying intent |
| Time to Accept SQL |
Lag time from SDR to AE |
| SQL rejection rate |
Helps identify misalignment or scoring issues |
If your SQL-to-Opportunity rate is <20%, your sales team may be chasing noise, not signals.
SQL vs MQL vs PQL
| Term |
Stands For |
Triggered By |
| MQL |
Marketing Qualified Lead |
Engagement (e.g., webinars, downloads, visits) |
| SQL |
Sales Qualified Lead |
Readiness (e.g., demo request, budget conversations) |
| PQL |
Product Qualified Lead |
In-product usage (e.g., hitting a “value moment” in a free trial) |
Modern GTM teams often blend SQL + PQL signals for a hybrid qualification model.
Final takeaway
SQLs are your sales team’s fuel. But if they’re misqualified, misaligned, or mishandled, you burn time, lose trust, and stall the pipeline. The smartest companies treat SQLs as a living, evolving definition, refined by data, GTM feedback, and market reality.
GPT prompt: Define your SQL criteria
