MRR Growth Calculator

See how fast your monthly recurring revenue is growing, and what that rate adds up to over six months.

$
$
(Current − previous) ÷ previous(46,000 − 40,000) ÷ 40,000
MRR growth rate
+15.0%
2–5% month-over-month is a common healthy range for an established SaaS business.
MRR projected 6 months forward at this growth rate

The math, shown

MRR growth rate is the percentage change in monthly recurring revenue from one month to the next.

Growth rate = (current MRR − previous MRR) ÷ previous MRR

Monthly recurring revenue (MRR)
The recurring subscription revenue you expect each month, with one-off payments left out.

Previous and current MRR
MRR at the end of the previous month and at the end of the current month. Use the same definition for both.

Worked example

Suppose MRR was $40,000 last month and is $46,000 this month.

($46,000 − $40,000) ÷ $40,000 = $6,000 ÷ $40,000 = 0.15, or 15% growth.

The chart repeats that rate for six months. At 15% a month, $46,000 becomes about $106,400 after six months. It is a way to see the effect of compounding. Few businesses keep a rate like that for long.

How to read your result

A good growth rate depends heavily on the stage of the business, and growth usually slows as revenue grows. We do not give a single healthy range for all businesses because we have not found a source that supports one.

For very early startups, Paul Graham of Y Combinator wrote that a good growth rate during the programme is 5 to 7% a week, and 10% a week is exceptional. Those weekly rates work out to roughly 24% to 34% a month. Treat that as a reference for early-stage companies, not a target for an established one. Look at your own trend over several months, and compare growth with your churn rate.

Frequently asked questions

What counts as MRR?

Recurring subscription revenue, normalised to a month. A yearly plan is counted as one twelfth each month. One-off setup fees, services and other non-recurring payments are left out.

Why does the chart assume the same growth every month?

It repeats your latest rate to show how compounding works. Real growth varies from month to month and tends to slow as the business grows, so read the chart as an illustration, not a forecast.

Is growth rate enough on its own?

No. A month with strong growth can hide high churn, because new customers replace the ones leaving. Look at growth together with churn, and compare the same month in different years if your business is seasonal.

Sources

  1. Klipfolio, MoM MRR Growth (formula)
  2. Paul Graham, Startup = Growth (weekly growth rates for early startups)
  3. David Skok, SaaS Metrics 2.0: Definitions (For Entrepreneurs)

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Written by the Webtilly team

Formula and sources last checked: 07th Oct 2026 · How we check our work

Note: This calculator provides an estimate based on the formula shown above. It is not tax, legal, or financial advice.