What Is a Startup?
A startup is a company built to find a repeatable business, not a small version of a big one. Here's what that difference changes.
Beginner7 min readDaksh BathlaDEFINITIONBusiness
ARR
Annual Recurring Revenue
MRR expressed over a year — usually just MRR multiplied by twelve. It's a snapshot of the current annual run rate, not the revenue actually earned in the last twelve months.
EXAMPLE
MRR of ₹70,000 means ARR of ₹840,000, even if the company only started charging four months ago.
WHY IT MATTERS
It's the number used in most conversations about company size, so it's worth knowing that it's a projection of the present moment rather than a historical figure. A company can honestly state an ARR far above what it has actually collected.
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