.calculator-container {
max-width: 800px;
margin: 0 auto;
font-family: 'Segoe UI', Roboto, Helvetica, Arial, sans-serif;
color: #333;
}
.calc-box {
background-color: #fdfdfd;
border: 1px solid #e0e0e0;
border-radius: 8px;
padding: 25px;
box-shadow: 0 4px 12px rgba(0,0,0,0.05);
margin-bottom: 30px;
}
.calc-title {
text-align: center;
color: #2c3e50;
margin-bottom: 25px;
font-size: 24px;
}
.input-group {
margin-bottom: 20px;
}
.input-group label {
display: block;
margin-bottom: 8px;
font-weight: 600;
color: #555;
}
.input-group input {
width: 100%;
padding: 12px;
border: 1px solid #ddd;
border-radius: 4px;
font-size: 16px;
box-sizing: border-box;
transition: border-color 0.3s;
}
.input-group input:focus {
border-color: #3498db;
outline: none;
}
.calc-btn {
width: 100%;
padding: 14px;
background-color: #3498db;
color: white;
border: none;
border-radius: 4px;
font-size: 18px;
font-weight: bold;
cursor: pointer;
transition: background-color 0.2s;
}
.calc-btn:hover {
background-color: #2980b9;
}
.results-section {
margin-top: 25px;
background-color: #f8f9fa;
border-radius: 6px;
padding: 20px;
display: none;
}
.result-row {
display: flex;
justify-content: space-between;
align-items: center;
padding: 10px 0;
border-bottom: 1px solid #eee;
}
.result-row:last-child {
border-bottom: none;
}
.result-label {
font-weight: 500;
color: #666;
}
.result-value {
font-weight: 700;
font-size: 20px;
color: #2c3e50;
}
.highlight {
color: #27ae60;
font-size: 24px;
}
.article-content {
line-height: 1.6;
color: #444;
}
.article-content h2 {
color: #2c3e50;
margin-top: 30px;
border-bottom: 2px solid #3498db;
padding-bottom: 10px;
}
.article-content ul {
padding-left: 20px;
}
.article-content li {
margin-bottom: 10px;
}
@media (max-width: 600px) {
.result-row {
flex-direction: column;
align-items: flex-start;
}
.result-value {
margin-top: 5px;
}
}
function calculateRunRate() {
// Get inputs
var mrrInput = document.getElementById("currentMRR").value;
var growthInput = document.getElementById("growthRate").value;
// Validate inputs
var mrr = parseFloat(mrrInput);
var growth = parseFloat(growthInput);
if (isNaN(mrr) || mrr < 0) {
alert("Please enter a valid positive number for Current Monthly Revenue.");
return;
}
if (isNaN(growth)) {
growth = 0; // Default to 0 growth if empty
}
// Calculation Logic
// 1. Base Annual Run Rate (ARR) = Current MRR * 12
// This assumes no growth, just extrapolating current month.
var baseArrVal = mrr * 12;
// 2. Projected Annual Revenue (Sum of next 12 months with compound growth)
var totalProjectedRevenue = 0;
var currentMonthRevenue = mrr;
var monthlyMultiplier = 1 + (growth / 100);
for (var i = 0; i < 12; i++) {
currentMonthRevenue = currentMonthRevenue * monthlyMultiplier;
totalProjectedRevenue += currentMonthRevenue;
}
// 3. Future MRR (The monthly revenue at month 12)
var futureMrrVal = currentMonthRevenue;
// Formatting currency
var formatter = new Intl.NumberFormat('en-US', {
style: 'currency',
currency: 'USD',
minimumFractionDigits: 2,
maximumFractionDigits: 2
});
// Display Results
document.getElementById("baseARR").innerHTML = formatter.format(baseArrVal);
document.getElementById("projectedRevenue").innerHTML = formatter.format(totalProjectedRevenue);
document.getElementById("futureMRR").innerHTML = formatter.format(futureMrrVal);
// Show results container
document.getElementById("resultsSection").style.display = "block";
}
What is Monthly Run Rate?
In financial analysis and SaaS (Software as a Service) business models, Run Rate typically refers to the financial performance of a company extrapolated over a year based on current monthly data. While the term "Monthly Run Rate" is often used interchangeably with Monthly Recurring Revenue (MRR), the calculation essentially answers the question: "If we continue performing exactly as we did this month, what will our annual revenue look like?"
This calculator allows you to determine your Annual Run Rate (ARR) based on your current revenue, while also factoring in an estimated Month-over-Month (MoM) growth rate to provide a more realistic forecast of your next 12 months.
How to Calculate Run Rate
The basic formula for Annual Run Rate is simple multiplication. It takes your current month's revenue and annualizes it.
- Formula:
Run Rate = Current Monthly Revenue × 12
For example, if your business generated $10,000 in revenue this month, your Annual Run Rate is $120,000. This metric is crucial for startups and growing businesses to estimate annual earnings before the year is complete.
Factoring in Growth
Static Run Rate calculations can be misleading for fast-growing companies. If you are growing at 5% or 10% per month, simply multiplying by 12 underestimates your actual annual outcome. Our calculator solves this by:
- Taking your current monthly revenue.
- Applying a compound monthly growth rate.
- Summing the forecasted revenue of the next 12 months.
Why Run Rate Matters
Investors and founders use Run Rate for several strategic reasons:
- Valuation: Startup valuations are often based on a multiple of their ARR (Annual Run Rate).
- Budgeting: It helps in planning future expenses (burn rate) against expected cash flow.
- Sales Goals: It provides a clear metric to track sales team performance against annual targets on a monthly basis.
Definitions of Calculator Metrics
Current Monthly Revenue ($): Your total revenue for the most recent complete month (often MRR for subscription businesses).
Est. Monthly Growth Rate (%): The percentage by which you expect your revenue to increase each month. Leave this at 0 for a standard Run Rate calculation.
Annual Run Rate (Base): A snapshot of your annual potential if revenue remained exactly the same for 12 months.
Projected Annual Revenue: The total amount of money you will collect over the next year if you maintain the entered growth rate.