MRR (monthly recurring revenue)
also known as monthly recurring revenue · recurring revenue
The predictable revenue an agency earns each month from retainers and recurring work. The foundation of stable agency finances.
For example, an agency with ten clients on retainers averaging $3,500 a month has $35,000 in MRR. That figure - not one-off project wins - is what tells the owner whether payroll and rent are comfortably covered before any new sales come in.
Why it matters to your firm: MRR turns a feast-or-famine project business into something you can plan, staff and grow with confidence. Lenders, buyers and partners value recurring revenue highly, so a strong, growing MRR makes the whole agency more stable and more valuable.
MRR = the sum of every client's monthly recurring fee
For annual contracts, divide the annual value by 12 to get its monthly contribution.
MRR calculator
Plug in your numbers - it updates as you type.
Prefer its own page? Open the mrr calculator
- Counting one-off project fees as recurring revenue.
- Tracking only gross MRR and missing churn and contraction.
- Celebrating new MRR while net new (new + expansion - churn) is flat.