MRR
Estimate normalized monthly recurring subscription revenue from paying customer count and monthly price per customer.
Use this for a single plan or a weighted-average monthly price. Use ARR to annualize an already established MRR total.
Open MRRThe decision guide / 12 calculators
SaaS & retention
Connect recurring revenue, customer retention, and long-term customer economics.
Worksheet / 01 / 3 tools
Establish the recurring revenue base.
Normalize revenue to a consistent recurring period before comparing scale or revenue per account. Keep one-time charges outside the recurring base.
ARR
Annualize a current monthly recurring revenue run rate without assuming future growth or retention changes.
Use this to convert an established MRR snapshot to an annual run rate. Use MRR first if you only have customers and monthly pricing.
Open ARRARPU
Calculate period revenue per average active user with a stated population and consistent revenue window.
Use ARPU for revenue per user or account, not per order. For contribution LTV, use monthly revenue and the same paying-customer population as churn.
Open ARPUWorksheet / 02 / 4 tools
See what stays, leaves, and expands.
Customer churn counts lost customers. Revenue churn and gross revenue retention weight losses by recurring revenue; net revenue retention also includes expansion from the opening cohort.
Customer Churn
Measure the share of customers present at the start of a period who leave during that same period.
Use this for logo or customer loss from a starting cohort. Use net revenue retention when account sizes, downgrades, and expansion matter.
Open Customer ChurnRevenue Churn
Measure recurring revenue lost from an opening customer cohort as a percentage of its starting revenue.
Use revenue churn when lost dollars matter more than the number of accounts. Use customer churn for logo loss and gross revenue retention for the retained share.
Open Revenue ChurnGross Revenue Retention
Calculate the recurring revenue retained from an opening cohort before expansion or new-customer revenue.
Use GRR to isolate churn and contraction in a defined existing-revenue cohort. Use NRR when expansion should offset those losses.
Open Gross Revenue RetentionNet Revenue Retention
Track recurring revenue retained from an opening customer cohort after churn, downgrades, and expansion, excluding new customers.
Use NRR to evaluate growth or shrinkage within existing customers. Use customer churn when you need the share of accounts lost instead of retained revenue.
Open Net Revenue RetentionWorksheet / 03 / 5 tools
Connect retention to acquisition economics.
Estimate lifetime contribution, compare it with acquisition investment, and inspect growth and revenue movements without treating a combined ratio as a health verdict.
Customer Lifetime Value
Estimate contribution-based subscription LTV from monthly ARPU, gross margin, and a positive steady-state monthly customer churn rate.
Use this for a simplified steady-state subscription estimate when monthly economics are stable. Use a cohort cash-flow model when retention, expansion, or margins change materially over time.
Open Customer Lifetime ValueLTV:CAC
Compare contribution-based customer lifetime value with acquisition cost using matching customer and cost definitions.
Use this when you already have an LTV estimate and CAC. Use the customer lifetime value calculator first if you need a simplified recurring-revenue LTV estimate.
Open LTV:CACSaaS Quick Ratio
Compare recurring revenue inflows from new and expanding customers with losses from churn and contraction.
Use this as a same-period SaaS revenue movement ratio. Define inflows and outflows on one cohort scope, and do not treat it as cash liquidity or a quality benchmark.
Open SaaS Quick RatioRule of 40
Add a SaaS revenue growth percentage and profit margin percentage as a transparent combined indicator.
Use this as a descriptive two-metric sum, not a universal pass-fail rule. Signed growth and margin are valid because shrinking or loss-making businesses can produce negative results.
Open Rule of 40Growth Rate
Measure percentage change from a prior comparable revenue period to the current period.
Use this for a signed period-over-period revenue comparison. A negative result is a real decline, not an invalid input; keep the periods and revenue scope comparable.
Open Growth RateFrom calculation to decision
Choose the right lens.
Read the result alongside its definition, not as a standalone score.
How we document formulas and limitationsReporting growth to your team?
Use MRR for a normalized monthly recurring base and ARR for its annualized run-rate. Neither is automatically recognized revenue or a prediction of the next twelve months.
Revenue holds up while customers leave?
Compare customer churn with revenue retention measures. Expansion from remaining customers can offset revenue loss without fixing customer loss. Keep the starting cohort fixed.
Evaluating an acquisition investment?
Use contribution-based LTV and matching CAC for the same customer segment. Revisit assumptions for young cohorts and review cash payback separately; a lifetime ratio does not tell you when cash returns.