Measure your SaaS growth efficiency with the quick ratio — the ratio of revenue growth (new + expansion) to revenue loss (churned + contraction).
Revenue from new customers
Revenue from upgrades/cross-sells
Revenue lost to cancellations
Revenue lost to downgrades
Quick Ratio = (New MRR + Expansion MRR) / (Churned MRR + Contraction MRR)
Growth (New + Expansion)
$20,000
Churn (Lost + Contraction)
$4,000
Benchmarks: ≥4 Excellent, 2-4 Good, 1-2 Fair, <1 Poor
This SaaS quick ratio calculator helps subscription businesses measure their growth efficiency. The quick ratio compares revenue growth (new MRR + expansion MRR) to revenue loss (churned MRR + contraction MRR). A ratio above 4 is considered excellent, while below 1 indicates the business is shrinking.