Canonical formula calculator
MONTHLY RECURRING REVENUE
The single most important number for subscription businesses — how much revenue you can count on every month.
How many customers are actively paying you a recurring fee right now.
Average monthly payment per subscriber. Total recurring revenue divided by subscriber count.
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Optional — helps us match this calculation against relevant case studies (coming soon).
What this tells you
Monthly Recurring Revenue is the heartbeat of any subscription business. It tells you how much revenue you can predict every month from your existing customer base, before any new sales. It is the number investors ask about, the number you build your runway against, and the number that compounds when you do everything else right.
When to use it
Calculate MRR monthly at minimum. Track it over time. Use it to set growth targets. Use it to understand customer lifetime value. Use it to know whether your business is actually growing or just churning new customers in and out at the same rate.
What it doesn’t tell you
MRR does not tell you about churn, expansion revenue, or whether your customer mix is healthy. Two businesses with the same $50,000 MRR can be in completely different positions if one has 50 customers paying $1,000 and the other has 5,000 customers paying $10. MRR is necessary; it is not sufficient.
Coming soon
Cases, plays, and benchmarks for this metric will appear here as the Moonshot knowledge libraries grow. For now: log in to track your number over time and Moonshot will surface trend warnings when the substrate fills in.