Guides
Practical guides to subscription revenue for founders and developers: how to calculate the numbers, why customers leave, and what to do about it. Worked examples, honest about where definitions differ.
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Start here · Revenue metrics What is MRR? Meaning, formula and how to calculate it MRR stands for monthly recurring revenue. Here's what it includes, the formula, how to calculate it step by step, and the edge cases that trip founders up: annual plans, upgrades, cancellations and one-time payments. Read the guide 8 minRevenue metrics
What the numbers mean and how to calculate them.
- What is MRR? Meaning, formula and how to calculate it MRR means monthly recurring revenue: the monthly value of your active subscriptions. The formula, how to calculate it, and worked examples. 8 min read
- MRR vs ARR: what's the difference? MRR is your monthly recurring revenue run rate. ARR is the same run rate over a year: MRR × 12. When to use each, with examples and common mistakes. 4 min read
Retention
Why customers leave, and what you can do about it.
- Involuntary churn: what it is and how to reduce it Involuntary churn is when a subscription ends because a payment failed, not because the customer chose to leave. How it happens, and how to reduce it. 5 min read
- SaaS churn prevention: how to reduce customer churn How to reduce churn in a SaaS business: measure it properly, learn why customers leave, spot falling usage early and follow up without overpromising. 9 min read
Comparisons
Fair looks at the tools founders ask about.