wzlxp.top builder tools Churn rate calculator
Estimate customer churn, revenue churn, retention, net revenue retention, and annualized MRR at risk from aggregate customer and MRR movement. Use it after the MRR calculator to understand why recurring revenue changes.
Enter aggregate counts and revenue movement only. Do not paste customer names, emails, or billing exports.
Estimated planning result only. This model separates customer churn, gross revenue churn, and net revenue retention.
It does not replace cohort analysis, billing exports, revenue recognition, or a retention dashboard.
How to use
Add starting customers and starting MRR for the period you want to analyze.
Enter lost customers, churned MRR, expansion MRR, and downgrade or contraction MRR.
Review customer churn, gross revenue churn, and net revenue retention together instead of relying on one metric.
Churn planning guide
A churn rate calculator is most useful when it separates logo loss from revenue movement. A few small customers leaving can look bad in customer churn while expansion from retained accounts still protects MRR.
Lost customers are divided by starting customers. New customers are tracked separately so acquisition does not hide retention problems.
Churned MRR is divided by starting MRR. This shows revenue lost before expansion makes the period look healthier.
Starting MRR minus churned and downgraded MRR plus expansion MRR is compared with starting MRR.
A small customer base where a few lost accounts can move customer churn quickly.
A high-volume self-serve product where customer churn is expected but needs to be offset by acquisition and expansion.
A smaller customer base where one enterprise downgrade can matter more than several small logo losses.
References and assumptions
This calculator uses aggregate inputs for a selected period. For monthly churn, use one month of lost customers and churned MRR. For quarterly churn, set period length to 3 months.
Expansion MRR should represent recurring upgrades or seat growth from retained customers. Downgrade or contraction MRR should represent recurring revenue that remains active but shrinks.
For board reporting or investor updates, verify these estimates against your billing system, cohort analysis, and finance process.
FAQ
Churn rate is the percentage of customers or recurring revenue lost during a period. Customer churn tracks lost accounts, while revenue churn tracks lost MRR.
Divide lost customers by starting customers, then multiply by 100. New customers should not be included in the denominator for the same period.
Gross revenue churn is churned recurring revenue divided by starting recurring revenue. It does not give credit for expansion revenue.
Net revenue retention compares retained recurring revenue after churn, contraction, and expansion against starting recurring revenue. It can be above 100% when expansion offsets churn.
Use the period that matches your operating review. Monthly churn is useful for quick feedback, while quarterly or annual churn can smooth noisy small-sample cohorts.