Multiply paying customers by average revenue per user to get MRR.
Overview
MRR (monthly recurring revenue) is the run-rate of subscription revenue normalized to a month.
Enter paying customers and ARPU (average revenue per user per month). MRR = customers × ARPU.
Exclude one-time setup fees if you want a pure recurring view; include them only in separate bookings metrics.
Steps
Active subscribers in the period.
Average monthly revenue per customer.
Review MRR.
Run each pricing tier separately, then sum.
Use the ARR calculator with this MRR.
Math
MRR = customers × ARPU
Monthly recurring revenue is customer count times average monthly revenue per customer.
Worked cases
250×49 = $12,250
$12,250 MRR.
400×49 = $19,600
$19,600 MRR.
250×65 = $16,250
$16,250 MRR.
Why use this
Questions