Churn Rate Calculator

Logo churn is not revenue churn

Counting cancelled logos and calling it "the churn rate" hides who left. Ten hobby accounts at $9 do not equal one $2,000 seat. This page splits the two. Logo churn uses headcount. Gross revenue churn uses the dollars those logos (and downgrades) took with them. Net revenue churn then credits expansion from the customers who stayed.

Logo churn % = lost customers / starting customers
Gross revenue churn % = MRR lost / starting MRR
Net revenue churn % = (MRR lost - expansion MRR) / starting MRR
Retention % = 100 - logo churn %
Lifespan (months) = 100 / logo churn % (or 999 if churn is 0)

Defaults: 500 customers, 15 lost, $25,000 starting MRR, $1,250 lost, $800 expansion. Logo churn is 3.00% (yellow band). Gross revenue churn is 5.00%. Net revenue churn is 1.80%. Retention is 97.00%. Lifespan is 33.3 months. The starting customer count is 500, so 15 lost is a 3% logo hole, while the dollars leaving are a larger share of MRR because the accounts that cancelled billed above average.

Negative net churn and the status badge

When expansion MRR is larger than lost MRR, net revenue churn is a negative number. That is the state boards like: remaining customers buy more than departing customers take. Raise expansion to $1,500 on the defaults and net churn flips negative. The green Negative Net Churn badge is text, not color alone.

Logo churn still uses a three-band pill: under 2% green, 2% to 5% yellow, over 5% red. You can have green logo churn and ugly revenue churn if whales leave. You can have yellow logo churn and negative net churn if the base is expanding. Read both. If starting customers are 0 or blank, churn is forced to 0% and an alert tells you the denominator is missing. If lost customers exceed starting customers, lost is clamped to the start so logo churn cannot print 140%.

Lifespan, cohorts, and what this snapshot skips

100 / logo churn percent is the constant-hazard shortcut. It assumes every remaining customer is as likely to leave next month as this month. Real products have infant mortality (trial drop-off) then a flatter curve. Use the 33.3-month figure as a planning input for LTV, then replace it with cohort data when you have a year of vintages. Pair this page with the SaaS LTV Calculator and the CAC Payback Calculator when you turn churn into payback and LTV:CAC.

Copy exports a plain-text block: starting logos, lost logos, starting MRR, lost MRR, expansion, the four rates, lifespan, and whether net churn is negative. No markdown. Paste it into Slack or an investor update. Recalculate on the same period length each time. Mixing a monthly logo count with quarterly MRR will invent a crisis that is only a calendar mismatch.

Frequently Asked Questions (FAQ)