Definitions
MRR is monthly recurring revenue. ARR is annual recurring revenue (often MRR × 12).
Net new MRR
In a month, net new MRR is:
Net new = New + Expansion − Churn
Ending MRR = Starting MRR + Net new.
Tool: Use the MRR & ARR Calculator.
MRR, ARR and net new MRR explained with a practical example.
MRR is monthly recurring revenue. ARR is annual recurring revenue (often MRR × 12).
In a month, net new MRR is:
Net new = New + Expansion − Churn
Ending MRR = Starting MRR + Net new.