MRR Calculator

Calculate Monthly Recurring Revenue and key SaaS metrics. Track new MRR, expansion revenue, churn, and overall growth rate for your subscription business.

Net New MRR = New MRR + Expansion MRR - Churned MRR - Contraction MRR | Ending MRR = Starting MRR + Net New MRR | MRR Growth Rate = (Net New MRR / Starting MRR) * 100 | ARR = Ending MRR * 12 | Quick Ratio = (New + Expansion) / (Churned + Contraction)
Example: Starting MRR $50,000, New $5,000, Expansion $2,000, Churned $2,500, Contraction $500. Net New MRR = $4,000, Ending MRR = $54,000, Growth = 8%, ARR = $648,000, Quick Ratio = 2.33 (healthy).

What is MRR and why is it important?

MRR (Monthly Recurring Revenue) is the predictable revenue your business generates each month from subscriptions. It's crucial for SaaS and subscription businesses because it provides visibility into revenue trends, helps with forecasting, valuation, and measuring growth. Investors heavily weight MRR when valuing SaaS companies.

What is the difference between MRR and ARR?

MRR is Monthly Recurring Revenue, ARR is Annual Recurring Revenue (MRR * 12). Use MRR for businesses under $1M ARR to track monthly changes. Use ARR for larger businesses and when speaking with investors. Both exclude one-time fees and usage-based revenue variations.

What is good MRR growth for a SaaS company?

Early stage (<$1M MRR): 15-20% monthly growth is excellent. Growth stage ($1-10M MRR): 10-15% monthly is strong. Scale stage (>$10M MRR): 5-10% monthly is good. The "T2D3" benchmark suggests tripling MRR for 2 years, then doubling for 3 years to reach $100M ARR.

Should one-time fees be included in MRR?

No. MRR should only include recurring subscription revenue. Exclude one-time setup fees, professional services, and variable usage charges. However, track these separately as they contribute to total revenue. Only predictable, recurring monthly charges count toward MRR.

What is Net New MRR?

Net New MRR = New MRR + Expansion MRR - Churned MRR - Contraction MRR. It shows the actual MRR growth after accounting for all additions and losses. Positive Net New MRR indicates healthy growth. Negative means you're losing more MRR than you're gaining.