MRR Growth Calculator
Monthly Recurring Revenue (MRR) growth rate is the heartbeat of any subscription or SaaS business. It measures how quickly predictable revenue is expanding month over month and is used by founders, investors, and boards to assess business momentum. This calculator has two modes. In growth rate mode, enter last month's MRR and this month's MRR to compute the exact percentage change. In projection mode, enter your current MRR, a target monthly growth rate, and a number of months to project future MRR using compound growth. Understanding both views helps you benchmark current performance against targets and model what consistent growth rates mean for revenue over the next 6 to 24 months.
MRR growth formulas
MRR Growth Rate = (Current MRR - Previous MRR) / Previous MRR * 100
Projected MRR = Current MRR * (1 + Monthly Growth Rate / 100) ^ Months
ARR = Projected MRR * 12
MRR growth benchmarks
- Pre-seed/seed stage: 15 to 25 percent month-over-month growth is exceptional.
- Series A: 10 to 15 percent monthly growth is strong.
- Series B+: 5 to 10 percent monthly growth translates to 80 to 200 percent annually.
- Mature SaaS: 3 to 5 percent monthly or 40 to 80 percent annually.
MRR growth: frequently asked questions
What is MRR growth rate?
MRR growth rate is the percentage change in Monthly Recurring Revenue from one month to the next. It measures the speed of revenue expansion and is a core KPI for subscription businesses.
What is a good MRR growth rate?
Early-stage SaaS companies targeting venture scale often aim for 10 to 20 percent month-over-month growth. More mature companies may target 3 to 7 percent monthly growth or 40 to 100 percent annually.
How do I decompose MRR growth?
Total MRR change = New MRR (new customers) + Expansion MRR (upgrades) - Contraction MRR (downgrades) - Churned MRR (cancellations) + Reactivation MRR.
What is the difference between MRR and ARR?
MRR is monthly recurring revenue - the normalized monthly value of subscription contracts. ARR (Annual Recurring Revenue) equals MRR multiplied by 12. ARR is used more often by enterprise SaaS companies.
How do I project future MRR?
Future MRR = Current MRR multiplied by (1 + monthly growth rate) raised to the power of the number of months. This compound growth formula accounts for exponential revenue growth.
Sources
- U.S. Securities and Exchange Commission: EDGAR Company Filings.
- U.S. Small Business Administration: Manage Your Finances.
Reviewed by the CalculatorHub team, edited by James Graham, 14 June 2026. See our methodology.