SaaS Metrics 101: Understanding the Numbers That Matter

Whether you're raising capital or managing cashflow, these recurring revenue metrics are foundational to SaaS success:

• MRR (Monthly Recurring Revenue): The total predictable revenue earned each month from active subscriptions.
• ARR (Annual Recurring Revenue): MRR multiplied by 12 — used to assess growth and company valuation.
• Gross Revenue vs. Net Revenue: Gross includes all customer payments; Net subtracts refunds, discounts, and deferred portions.
• Cash vs. Accrual Timing: You may earn revenue on paper, but only actual deposits improve your runway.
• Forecast vs. Actual: Projections should be reconciled monthly to avoid blind spots and financial drift.

Cash Insights™ bridges the gap between accrual accounting and actual cash movement — giving you a real-time forecast of what’s in the bank, not just the balance sheet.