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Entrepreneurship & Startups vocabulary · Unit Economics & Metrics

MRR

Meaning in entrepreneurship & startups, with examples

/ˌem ɑːr ˈɑːr/abbreviationCommon term

In entrepreneurship & startups, MRR means: Monthly recurring revenue: the predictable income a subscription business earns every month from active customers, not counting one-off fees.

In Turkish: aylık tekrarlayan gelir, aylık yinelenen gelir

How it is used

A key metric for SaaS and subscription startups, reported in every investor update. ARR (annual recurring revenue) is usually MRR times twelve. People talk about new MRR, churned MRR and expansion MRR, and about MRR growth month over month.

Example sentences

  1. We crossed 50k MRR last month, up from 30k in January.

  2. Our MRR grew 12 percent month over month for the whole quarter.

Common collocations

  • grow MRR
  • new MRR
  • churned MRR
  • MRR growth
  • ARR
  • revenueThe total money a company earns from selling its products or services in a period, before any costs are taken away.
  • SaaSSoftware as a service: software that customers use online through a browser or app and pay for with a regular subscription instead of buying it once.
  • churnThe loss of customers or subscribers who stop using or paying for a product in a given period, usually measured as a monthly or yearly percentage.
  • subscription modelA business model in which customers pay a regular fee, usually monthly or yearly, to keep using a product or service.
  • KPIKey performance indicator: a number a company tracks regularly to see whether it is reaching its most important goals, such as revenue, active users or churn.

More terms: Unit Economics & Metrics

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