Revenue Growth Rate Calculator
Calculate monthly and annual revenue growth rate. Track MoM and YoY growth and project future revenue.
📊 Business📐 Growth Rate = (New - Old) / Old × 100
Previous period revenue ($)
Current period revenue ($)
Period type (enter 1=monthly, 12=annual)
Please enter valid values.
Formula & Reference
| Variable | Formula | Units |
|---|---|---|
| Revenue Growth Rate Calculator | Growth Rate = (New - Old) / Old × 100 | % |
Step-by-Step Examples
Example 1
Monthly SaaS Growth
Previous $85K, current $102K, monthly.
- MoM growth: 20% | Annualized: 692%!
- 12-month projection: $613K
✓ 20% MoM / 692% annualized
Example 2
Annual Revenue Growth
Previous $2M, current $2.5M, annual (12).
- YoY growth: 25% | 12-mo projection: $2.5M + 25% more
✓ 25% YoY
Example 3
Revenue Decline
Previous $120K, current $95K, monthly.
- Growth: -20.8% MoM | Declining revenue
✓ −20.8% (declining)
Real-World Applications
SaaS Companies
Track MRR and ARR growth.
Business Owners
Monitor revenue trend vs industry benchmarks.
Investors
Evaluate growth trajectory for investment decisions.
Sales Leaders
Set quarterly revenue targets from growth rates.
Common Mistakes to Avoid
⚠️
Annualizing monthly growth naively
20% MoM × 12 = 240% is wrong. Correct annualization: (1 + 0.20)^12 - 1 = 792%. Compound growth is exponential, not linear.
⚠️
Comparing growth rates across different periods
20% monthly growth is exceptional. 20% annual growth is strong. Always specify the period when reporting growth rate.
Frequently Asked Questions
What is a good revenue growth rate? ▾
Early-stage startups: 10-20%+ monthly. Venture-backed SaaS benchmark (T2D3): triple revenue twice, then double 3 times. Established companies: 15-25% annual is excellent. S&P 500 average: 5-10%/year.
Rule of 72 for growth? ▾
To find how long to double revenue: divide 72 by growth rate. At 10% annual growth: 72/10 = 7.2 years to double. At 20%: 3.6 years.
CAGR vs point-to-point growth? ▾
CAGR (Compound Annual Growth Rate) smooths volatility over multiple years. Better for evaluating long-term trends than comparing single periods.