Revenue Growth Calculator

Compare two revenue figures and get every growth rate that matters: period growth, the compound monthly rate, the annualised rate and a forward projection.

Inputs

Result

6.82%

compound monthly growth rate

Growing from $35,000 to $52,000 over 6 months is 48.57% total growth, a compound 6.82% a month and 120.73% annualised. At that pace revenue reaches $114,782 in 12 months.

Total growth
48.57%
Absolute increase
$17,000
Compound monthly growth
6.82%
Annualised growth (CAGR)
120.73%
Projected revenue
$114,782
Doubling time
10.5 months

Formula

  • total growth % = (ending − starting) ÷ starting × 100
  • compound monthly growth = (ending ÷ starting)^(1 ÷ months) − 1
  • annualised growth = (1 + monthly rate)^12 − 1
  • projected revenue = ending × (1 + monthly rate)^months projected
  • doubling time = ln(2) ÷ ln(1 + monthly rate)

Methodology

Total growth over several months is not the same as the monthly rate. Taking the nth root gives the compound rate, which is the only figure you can fairly compare between periods of different lengths.

Compound annual growth rate (CAGR) smooths a lumpy series into one number. It hides volatility deliberately, so always look at the underlying months as well before drawing conclusions.

Doubling time is the intuitive version of a growth rate: 7% monthly growth doubles revenue in about ten months, while 3% takes roughly twenty-three.

These are modelling estimates based on standard SaaS metric definitions. Real results depend on your billing data, contract terms and accounting treatment, so reconcile against your finance system before reporting numbers externally.

Example calculation

  1. Revenue grows from $35,000 to $52,000 over six months.
  2. Total growth: ($52,000 − $35,000) ÷ $35,000 = 48.6%.
  3. Compound monthly rate: (52,000 ÷ 35,000)^(1/6) − 1 = 6.81%.
  4. Annualised that is 121%, revenue doubles roughly every 10.5 months, and twelve more months at that pace reaches about $114,900.

Frequently asked questions

What is a good monthly revenue growth rate?

Early-stage startups often target 10-15% month over month. At scale, 5-7% monthly (about 2× a year) is excellent, and public SaaS companies growing 30-40% a year are considered high growth.

What is the difference between growth rate and CAGR?

A growth rate compares two points directly. CAGR is the constant compound rate that would connect them, which makes periods of different lengths comparable.

Why is my compound rate lower than my total growth?

Because compounding accumulates. Six months of 6.81% growth multiplies to 48.6% in total — dividing the total by six would understate the early months and overstate the later ones.

Should I use MRR or total revenue?

Use MRR for subscription businesses; it removes one-off services and payment timing. Use total revenue when you need to match the income statement.

How far ahead can I project growth?

Three to six months is reasonably reliable; twelve months is a planning scenario rather than a forecast. Growth rates decay as the base grows, so long projections almost always overshoot.

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