What is Carr vs arr?

Two of the most common metrics include Committed Annual Recurring Revenue (CARR) and Annual Recurring Revenue (ARR). The two are similar, which can cause confusion. Below, we’ll explore the differences between CARR vs. ARR and how you can use both to get insights into customer counts, revenue forecasting, and churn rates.

What are arr and Carr metrics?

ARR and CARR can be useful metrics for evaluating the financial performance of companies that rely on recurring revenue streams. By tracking these metrics over time, businesses can identify trends and make informed decisions about how to allocate resources in order to maximize revenue growth.

What is annual recurring revenue (ARR) & committed recurring yearly revenue (Carr)?

Annual recurring revenue (ARR) and committed recurring yearly revenue (CARR) are two metrics that are similar in more ways than just their names. Both of these metrics are a calculation of a SaaS company’s recurring revenue, with the primary distinction between the two being that CARR includes revenue that is committed but not yet billed.