MRR & ARR Calculator
For anyone with subscribers or a paid membership: recurring revenue plus churn-based lifetime and LTV.
Why churn drives everything
Monthly Recurring Revenue (MRR) is subscribers × average price; ARR is MRR × 12. But churn sets the ceiling: at 5% monthly churn the average customer stays ~20 months (1 ÷ churn), giving a lifetime value of price ÷ churn. Halving churn roughly doubles LTV — usually a bigger lever than acquisition.
Frequently asked questions
How is customer lifetime estimated?
As 1 ÷ monthly churn rate. At 5% churn, average lifetime ≈ 20 months. It's a simplification but a useful planning figure.