Monthly Recurring Revenue Calculator

Calculate MRR under a minute.

Check icon
Don’t search for a MRR calculator again!
Check icon
Copy and save the calculator in your spreadsheet.
Check icon
Customize the calculator based on your company’s uniqueness.
Bonus: Free SaaS Report Templates Powered by Your Live Data

SaaS analytics are made easy with our free SaaS Report Templates powered by your live data. Discover how to leverage live data in your spreadsheet with this Free Sales Pipeline Report Template for HubSpot or Salesforce.

Formula for MRR

MRR = (Existing Revenue)+(New Revenue)+(Expansion Revenue)−(Churn)

  • Existing Revenue: Monthly revenue from existing customers before this month.
  • New Revenue: Revenue added from new customers acquired this month.
  • Expansion Revenue: Additional revenue from existing customers who upgraded this month.
  • Churned: Revenue lost from customers who downgraded or churned this month.

Example Calculation with Numbers:

Let’s use your example to calculate MRR for a SaaS company:

  1. Existing Customers:
    • 150 customers paying $50 each per month.
    • So, Existing MRR = 150 customers × $50/customer = $7,500.
  2. New Customers:
    • 10 new customers at $60 each per month.
    • New MRR = 10 customers × $60/customer = $600.
  3. Upgrades (Expansion MRR):
    • 5 customers upgraded to $70 per month plans (from $50 plans).
    • Expansion MRR = 5 customers × ($70 – $50)/customer = $100.
  4. Downgrades and Churns (Churned MRR):
    • 3 customers downgraded to $40 plans (from $50 plans).
    • 2 customers churned who were paying $50 per month.
    • Churned MRR = 3 customers × ($50 – $40)/customer + 2 customers × $50/customer = $110.
  5. Total MRR Calculation:
    • MRR = $7,500 (Existing) + $600 (New) + $100 (Expansion) – $110 (Churned)
    • MRR = $8,090.

What is MRR?

Monthly Recurring Revenue (MRR) is the total predictable revenue a SaaS company expects to receive every month from its subscription-based customers. It’s a key metric that reflects the monthly income generated from active customer subscriptions.

Why is MRR Important?

MRR is essential for monitoring short-term financial health and operational stability. It helps in tracking growth, managing cash flow, and understanding the impact of customer acquisition and retention strategies on revenue.

How to Improve MRR:

  • Increase Customer Base: Focus on marketing efforts to attract more subscribers.
  • Reduce Churn Rate: Enhance customer service and product value to retain existing customers.
  • Implement Upselling Strategies: Offer premium or additional features to existing customers.

Refine Pricing Model: Ensure your pricing strategy aligns with customer value perception and market trends.

One Click Spreadsheet Connectors Sync Live Data into Your Spreadsheet No need to export data manually and rebuild stale dashboards. Sync it & set it on refresh in Google Sheets or Excel.
Live Data icon

Free SaaS Reporting Dashboards

Pre-built dashboards, powered by your live data in your spreadsheet. No more manually building reports or dashboards for hours.