SaaS Quick Ratio Calculator

The SaaS Quick Ratio measures how efficiently your recurring revenue grows relative to the revenue you lose, and this calculator works it out from your MRR movements. It is a wonderfully simple health check: add up the recurring revenue you gained, from new customers and from expansion of existing ones, and divide it by the recurring revenue you lost, from churn and from contraction. The result tells you how many dollars of growth you generate for each dollar you leak. A SaaS Quick Ratio of four means you add four dollars of new and expansion revenue for every dollar lost, a sign of strong, efficient growth. A ratio near one means you are barely treading water, gaining about as much as you lose, while below one means the business is shrinking. The metric is prized because it captures both sides of the revenue equation in a single number, exposing businesses that appear to be growing fast but are actually losing nearly as much out the back door. This calculator makes it clear. You enter your new MRR, expansion MRR, churned MRR and contraction MRR for the period, and it returns the SaaS Quick Ratio, the total growth and lost revenue, and a verdict. The results update as you type. Use it to judge growth efficiency, to compare periods, or to spot when churn is quietly undermining headline growth. The ratio is new plus expansion MRR, divided by churned plus contraction MRR. A common benchmark is that a ratio of four or above signals healthy, efficient growth, while anything around or below one is a warning. Because it weighs gains against losses directly, the SaaS Quick Ratio is a quick way to see whether your growth is built on a solid, retained base or is fighting a constant battle against churn.

Quick Ratio = (new + expansion MRR) / (churned + contraction MRR). 4 or above is healthy efficient growth; around 1 is treading water; below 1 is shrinking.