What’s on this dashboard
Everything here is 💰 money excluding tax. The details table has two sections that behave differently.
Starting and Ending MRR are balances, like your bank account on a given date: each one is the whole run rate at that moment, not what the period added. Widen the date range and you get more history: the last Ending MRR is the run rate at the end of the range, so that is the figure to quote. The movements are activity, like a bank statement: each one covers the period it sits in. Change is the four movements combined, and once a month is complete it also equals Ending minus Starting MRR.
What counts as one month of MRR
Every live subscription contributes its subscription fee, the recurring price set on the plan, converted to a monthly figure. Only that fee counts. Fixed charges are not part of MRR, even though they are billed every period, and neither are usage-based charges.
A plan at 1,200 per year is worth 100 of MRR. That same conversion decides whether a plan change is an upgrade or a downgrade.
The four movements
Each one is dated on the day the subscription started or ended.An upgrade is never churn plus new. Lago knows the new subscription replaced the old one, so a plan change produces one movement on the difference. Churn only fires when a customer’s recurring revenue in that currency reaches zero.
Worked example
A customer on 100 per month upgrades to 200 per month on 15 March, then leaves on 10 April with nothing else running.
Had they moved to a 1,200 per year plan instead, nothing would have moved: 100 a month against 100 a month.
Filters
⚠️ Remove Currency from the Breakdown and dollars, euros and yen are added into one number. Filter to one currency before quoting a total.
What’s not included (for now)
- Usage, one-offs and commitment top-ups. None of them are recurring. See Revenue streams.
- Fixed charges. MRR counts the plan’s subscription fee only, so a fixed charge does not move it even though it is billed every period.
- Discounts. MRR shows the full plan price, so a customer on a 50 percent coupon still counts at 100 percent.
- Partner accounts and taxes.
Common questions
Why doesn't MRR match my invoiced revenue?
Why doesn't MRR match my invoiced revenue?
It is not meant to. MRR is the plan price of live subscriptions, before discounts and before any usage. Invoiced revenue adds usage, one-offs and top-ups, and takes off coupons and credits. The closest comparison is the subscription fee line in Revenue streams.
Why don't twelve months of Ending MRR add up to a yearly figure?
Why don't twelve months of Ending MRR add up to a yearly figure?
Because Ending MRR is a balance, not an amount earned. December’s value is the year-end run rate. To measure a year’s growth, add the twelve Change values instead.
A customer upgraded. Why is there no churn?
A customer upgraded. Why is there no churn?
Lago links the new subscription to the one it replaced, so only the difference is reported, as expansion or as contraction. A yearly plan can be cheaper than a monthly one once converted to a monthly figure.
A customer ended one of three subscriptions. Where does it show?
A customer ended one of three subscriptions. Where does it show?
As contraction, not churn. Churn only fires when the customer has nothing left running in that currency. Note that Churn counts the same event as a termination.
Why is this month's MRR lower than expected?
Why is this month's MRR lower than expected?
The month is not finished. Its movements only cover the days so far, and the numbers update once a day overnight, so a subscription created today shows tomorrow.