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Monthly Recurring Revenue (MRR)

Sum of all monthly subscription revenue — the key SaaS health metric

MRR (Monthly Recurring Revenue) is the sum of all recurring monthly revenue from active subscriptions. It is the fundamental metric for measuring the health and growth of a subscription business.

MRR = New MRR + Expansion MRR − Churned MRR
ARR (annual) = MRR × 12

100 customers × $200/mo = MRR: $20,000
ARR = $20,000 × 12 = $240,000

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Use the Customer LTV (based on MRR) calculator.

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