Result
MRR at end of month
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This calculation is for informational purposes only and does not replace advice from a qualified professional. Formulas and rates may not fit your exact situation — double-check the figures before making decisions.
How it is calculated
Ending MRR = starting MRR + new MRR + expansion MRR − churned MRR. This isn't one-off revenue — it's specifically the recurring, repeating monthly income from active subscriptions. Annual contracts need to be normalized to a monthly equivalent (contract value ÷ 12) for MRR, or the figure will spike in renewal months.
Net New MRR = new MRR + expansion MRR − churned MRR — how much actually got added to the base this month, independent of the MRR that already existed. It's a more honest growth signal than ending MRR alone: two businesses with identical MRR can be growing at very different speeds.
Breaking MRR into new, expansion and churned components shows exactly where growth is coming from: if new MRR is steady but churned MRR is climbing, the problem isn't sales — it's retention. Those are different problems with different fixes, and the aggregate MRR figure alone doesn't distinguish between them.