Method and assumptions
Use the same reporting window and exclude new customers from the churn denominator. Revenue churn can differ from logo churn when account sizes vary.
Logo churn = churned customers ÷ starting customers. Revenue churn = churned MRR ÷ starting MRR.
Common questions
Should new customers be in the churn denominator?
No. Period churn normally starts with the opening customer or revenue base.
Why can revenue churn be lower than logo churn?
Smaller accounts may churn more often than larger accounts.
Independent planning calculator. Not financial, tax, legal or investment advice.