Committed Annual Recurring Revenue

cARR stands for contracted (or committed) annual recurring revenue. It differs from ARR beause it takes into effect known future business and known future cancellations that don’t yet show up in ARR. [1] Total contracted annual recurring revenue is the single best metric for the health of a business. It encapsulates new logo growth, expansion, and churn in a single number. [2]


[1] Robson, I. ARR? Renewals? Churn? CARR? : A Guide For The Perplexed | Success Methods. Retrieved May 21, 2021, from

[3] How to Calculate Revenue Potential of a New Startup and Present to Investors | The Startup Finance Blog. Retrieved May 21, 2021, from

[4] Murray, B. Committed Monthly Recurring Revenue (CMRR) Defined - The SaaS CFO. Retrieved May 21, 2021, from

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