Value Proposition Generator AI
A one-paragraph positioning statement, AI or instant.
Turn MRR into ARR, with a growth projection for the year ahead.
ARR is a run rate on recurring revenue only — keep setup fees, services and one-off charges out of the MRR figure.
Annual recurring revenue
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The Annual Recurring Revenue Calculator turns MRR into ARR instantly, with the quarterly figure alongside it and a compounded twelve-month projection when you add an expected monthly growth rate.
ARR is MRR viewed from a year away: the run rate a subscription business would book over twelve months if today's recurring revenue simply held. It is the number that appears in board decks and funding conversations, because it scales cleanly across companies of very different sizes.
Enter your MRR to get the ARR and the quarterly figure straight away. Add an expected monthly growth rate and the calculator compounds it across twelve months to show the MRR you would exit the year on and the ARR run rate that implies — a sanity check on any annual target before it gets committed to.
ARR updates live as MRR changes.
Compounds a monthly growth rate across twelve months.
Every step of the calculation is written out underneath the result.
No sign-up, no data sent anywhere.
Current monthly recurring revenue, with one-off fees excluded.
MRR multiplied by twelve, shown instantly alongside the quarterly figure.
Optional — compounds monthly growth across a year for an exit run rate.
Each step is written out with your own numbers substituted in.
ARR = MRR × 12. An MRR of $15,680 is an ARR of $188,160.
No. ARR is a run rate — what the current recurring base would produce over a year. Actual annual revenue is what was really billed, including one-off fees, services and the effect of growth and churn during the year.
No. ARR is specifically the recurring portion. Mixing in implementation fees or consultancy inflates the figure and makes it incomparable with other subscription businesses.
It compounds your monthly growth rate over twelve months: exit MRR = current MRR × (1 + growth rate) to the power of 12, then multiplies that by twelve for the exit ARR run rate. It assumes a steady rate, so treat it as an illustration rather than a forecast.
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