Baremetrics
SaaS metrics and subscription analytics dashboards.
Visit tool →Revenue Churn Calculator (Gross MRR Lost)
Recurring revenue lost from downgrades and cancellations compared with recurring revenue at the start of the period.
Calculator
Revenue churn rate
5.14%
Results are simplified estimates for educational purposes only and should not be treated as financial, accounting, legal, or tax advice. See our disclaimer for details.
Overview
Use this to estimate how much recurring revenue was lost from downgrades and cancellations before counting expansion revenue. It's about dollars shrinking, not just how many customers left.
Formula
Churned MRR divided by starting MRR × 100—use the same definitions your finance team uses.
Example calculation
Using the default example values from the JSON seed for this tool:
- Churned MRR removed
- 9500
- Starting MRR
- 185000
Result: 5.14% (Revenue churn rate)
How to interpret this result
Lost recurring dollars (downgrades and cancels) versus starting recurring revenue baseline.
Finance teams use different churn labels—match theirs before quoting numbers.
Separate from expansions—you want the shrink slice clean.
When to use this calculator
- When downgrade and cancel dollars swamp what logo counts imply
- Before you spike expansion stories without seeing contraction bleed
- When finance publishes churn MRR labels you can match here
- When FX swings ARR but product didn’t magically break
Rule of thumb
This isolates shrinking recurring dollars from expansion noise—use the same churn categories as Finance.
Terms used in this calculator
- Churn rate (logo churn)
- What share of the starting cohort you lost inside the timeframe you framed.
- MRR
- Monthly recurring revenue: paying subscribers times the recurring monthly revenue you attach to each after any annual-to-monthly split you use.
- LTV
- A simple lifetime earnings sketch from average revenue, margin, and churn—not a prophecy.
Common mistakes
- Confusing contraction dollars with customer counts.
- Double-counting downgrades Finance already categorized elsewhere.
- Forgetting FX when multi-currency ARR floats without product change.
What to do next
Compare expansion share and logos next so losses are not blamed on acquisition alone.
How to improve this result
- Quantify downgrade versus cancel separately when finance allows.
- Expand healthy accounts proactively when contractions concentrate.
- Forecast cash timing—not just ARR deltas—when mitigating risk.
Recommended tools
Useful tools for this calculator
These tools are related to the topic of this calculator. Some links may be partner links.
ChartMogul
Subscription analytics for revenue, churn, and cohort reporting.
Visit tool →FAQ
- Does this include downsells?
- Yes, if your team counts downgrades as churned MRR. Use the same definitions every time.
- Why differ from logos?
- A few big accounts swinging price moves revenue faster than logo counts imply.
- Overlap with net retention?
- Net retention adds expansion back in. This number only measures how much recurring revenue shrank from churn and downgrades.
- FX noise?
- Multi-currency ARR swings without product change—footnote when explaining.
Related calculators
Gross Revenue Retention Calculator
Share of starting MRR kept after churn and contraction-dollar losses—before deliberate upsell credit.
Open calculator →Logo Churn Calculator
Customer logos lost in a window divided by logos you started that window with.
Open calculator →MRR Calculator
Paying customers × average monthly recurring price after you convert plan mix into monthly amounts.
Open calculator →Net Revenue Retention Calculator
Ending expansion-adjusted recurring revenue indexed to starting baseline for the cohort window.
Open calculator →Affiliate disclosure
Disclosure: Some links on this page may be affiliate links. If you sign up or make a purchase through these links, FounderCalc may earn a commission at no extra cost to you. We only recommend tools that are relevant to the calculator topic.