Startup Glossary
A complete library of terms, metrics, and calculations for your startup.
Revenue
Annual Recurring Revenue (ARR)
Annual recurring revenue (ARR) is the amount of predictable revenue your business earns in a year from customers.
Average Revenue Per Account
Average revenue per account (ARPA) is the average monthly recurring revenue (MRR) per customer.
Average Revenue Per User (ARPU)
ARPU is the average monthly recurring revenue (MRR) per user.
Customer Lifetime Value (CLV)
Customer lifetime value (LTV) is how much revenue one customer generates for your business over time.
LTV:CAC Ratio
LTV:CAC ratio compares how much a customer spends with you over their lifetime to how much it costs to acquire them.
Monthly Recurring Revenue (MRR)
MRR is the amount of predictable revenue your business earns each month from customers.
New MRR
New MRR is the amount of MRR gained from new customers.
Revenue Per Employee
Revenue per employee calculates the amount of revenue that each employee earns for the business.
Revenue Run Rate
Revenue run rate is a projection of your annual revenue based on revenue generated in a previous period.
Total Revenue
Total revenue is your total revenue from recurring and non-recurring revenue streams.
Trailing Twelve Months Revenue (TTM)
TTM revenue is the amount of revenue a company generates within the last twelve months.