ARR Calculator
Calculate Annual Recurring Revenue from MRR or annual contract values. Find your implied company valuation at common SaaS revenue multiples.
Part of our Business Calculators collection.
ARR Calculator
Free online calculator
$
Enter MRR or annual contract value below — not both
$
For annual billing — enter total billed annually
Early stage SaaS: 8–15×. Growth: 5–10×.
Results update automatically as you type
How to Use This Calculator
- 1
Enter MRR or total annual contract value.
- 2
Set revenue multiple for valuation estimate.
- 3
See ARR, QRR, and implied company valuation.
ARR Formula
ARR = MRR × 12 OR ARR = Sum of all active Annual Contract Values Implied Valuation = ARR × Revenue Multiple 2024 SaaS multiples: High-growth (50%+ YoY): 12–20× Mid-growth (20–50%): 6–12× Slower growth (<20%): 3–6×
Example Calculation
Example: $50,000 MRR
Inputs
mrr: 50000revenueMultiple: 8
Result
ARR: $600,000 | Valuation: $4.8M
$50k × 12 = $600k ARR. $600k × 8 = $4.8M implied.
Frequently Asked Questions
What revenue multiple should I use?
It depends heavily on growth rate, retention, and market. In 2024, B2B SaaS trades at 5–12× ARR for private companies. High-growth companies (50%+ YoY) command 12–20×. Use 5–8× for a conservative estimate.
Should I use ARR or MRR to track my business?
Use both. MRR tracks momentum month-to-month. ARR communicates scale and is the standard for fundraising conversations. If you have a mix of monthly and annual contracts, normalize everything to MRR first.