ARR Calculator & How to calculate ARR

ARR (annual recurring revenue) is a key calculation that estimates expected revenue from new and existing subscription-based services or products over a 12-month period. The formula for ARR takes consistent revenue inflows and outflows into account and can be used to forecast future growth.

ARR Calculator

Carta’s free ARR calculator automatically calculates ARR and MRR (monthly recurring revenue) for your company based on:

  • Revenue from existing annual subscriptions

  • New revenue from new annual customers

  • Revenue from upgrades and add-ons

  • Lost revenue from downgrades

  • Lost revenue from customer churn

Download the ARR calculator to get started.

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