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What is monthly recurring revenue MRR?

MRR, also referred to as monthly recurring revenue, is one of the essential business metrics that predicts the amount of money an enterprise should earn in a month.

Most often, this metric is used to measure the expected revenues of subscription-based businesses.

Calculating MRR is easy: for example, if your business has 10 loyal customers, and each pays you $100 a month, then your monthly recurring revenue is $1000.

There are several reasons why measuring MRR is important. First of all, it helps you see how your sales team is doing as a whole.

Additionally, it helps track the individual performance of every sales rep and make more accurate sales forecasts.