MRR & ARR Calculator

MRR formula: Sum the monthly-normalised value of every active subscription. For non-monthly billing, convert first: weekly × 4.33, quarterly ÷ 3, annual ÷ 12. If you have 100 customers paying $49/month, your MRR is $4,900.

ARR: Simply MRR × 12. ARR is the standard metric for SaaS valuations and fundraising. If your MRR is $10,000, your ARR is $120,000.

Protecting your MRR: Every failed payment that causes a cancellation directly reduces your MRR. Recovering these through dunning is the fastest way to protect your recurring revenue without additional acquisition spend.

"Good" depends entirely on your stage and business model. A bootstrapped founder with $5k MRR after six months is in a very different position from a Series A company expected to hit $100k MRR within 18 months. The absolute number matters less than the trajectory.

That said, here's what the milestones typically look like for B2B SaaS:

Pre-seed / bootstrapped: $1k–$10k MRR. You're validating product-market fit. Growth rate matters more than the number itself. If you're adding $500–$1,000 MRR per month organically, you've got signal.

Seed stage: $10k–$50k MRR. Most seed investors want to see you approaching or past the $10k MRR mark with consistent month-over-month growth of 15–20%.

By Series A, the bar is typically $50k–$200k+ MRR depending on the market. But at every stage, net MRR growth is what matters. Acquiring $10k in new MRR while losing $8k to churn gives you $2k net growth. Reducing that churn by even a fraction changes the equation. Failed payments alone account for 20–40% of churn in most SaaS businesses, and recovering them through dunning is one of the quickest ways to improve net MRR growth without additional acquisition spend.