Monthly Recurring Revenue (MRR)

Monthly Recurring Revenue (MRR) is the predictable income a business expects to generate each month from its active customers, typically through subscription services or ongoing contracts. It provides a clear view of how much revenue the company can count on regularly, helping evaluate growth and financial health. MRR excludes one-time payments or sales, focusing instead on consistent, repeatable income streams. This metric is especially important for subscription-based businesses, as it offers insights into stability, customer retention, and potential for scaling over time.