SaaS & startups

SaaS metrics

Numbers that show the health of a subscription business.

Terms

3 terms

  • ARR

    ARR (annual recurring revenue) is the yearly value of a SaaS company's active subscription contracts, excluding one-time fees, used to measure scale and growth.

  • Churn rate

    Churn rate is the share of customers or recurring revenue a subscription business loses in a period, a core SaaS metric for retention and growth.

  • MRR

    MRR, or monthly recurring revenue, is the normalized monthly value of all active subscriptions, the core SaaS metric for tracking growth and momentum.