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MRR

Metrics beginner FOUNDERCFO

What is MRR?

MRR is monthly recurring revenue, the normalized monthly subscription revenue base of a SaaS company.

Also known as: Monthly Recurring Revenue

MRR Formula

MRR = Paying Customers × ARPA
Variable Meaning
ARPA Average revenue per account per month.
Paying Customers Number of active paying customer accounts.
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How to Calculate MRR

Worked example

Paying Customers
200
ARPA (monthly)
$250
→ MRR
$50,000

MRR Calculator

Try it with your numbers

MRR$50,000
MRR = Paying Customers × ARPA
Variable Meaning
ARPA Average revenue per account per month.
Paying Customers Number of active paying customer accounts.

Worked example

Paying Customers
200
ARPA (monthly)
$250
→ MRR
$50,000

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MRR vs Related Metrics

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