How do you calculate projected revenue?

Projected revenue is calculated using the formula: Future Revenue = Current Revenue × (1 + Growth Rate)^Time Period. For more accurate forecasts, factor in seasonality, churn rate (for subscription businesses), and market conditions. Our calculator lets you model multiple scenarios and compare linear vs. compound growth to find the most realistic projection.

What's a realistic revenue growth rate to project?

Realistic growth rates vary by industry and company stage. Early-stage startups often see 100-200% annual growth, while established SMBs typically grow 10-25% annually. SaaS companies at $1-10M ARR average 50-80% growth. Our calculator includes industry benchmarks so you can validate your assumptions against real market data.

How far ahead should I forecast revenue?

For operational planning, 12-month forecasts are most actionable. For investor presentations or strategic planning, 3-5 year projections are standard. Keep in mind that forecast accuracy decreases significantly beyond 2 years—our tool shows confidence intervals that widen over time to reflect this uncertainty.

What's the difference between linear and compound revenue growth?

Linear growth adds a fixed dollar amount each period (e.g., $10K/month). Compound growth increases by a percentage of the current total (e.g., 5%/month). Most businesses experience compound growth, which accelerates over time. A 5% monthly compound rate equals 80% annual growth, not 60%—our calculator shows both models side-by-side.

How do I account for churn in revenue forecasts?

For subscription businesses, net revenue growth = new revenue + expansion revenue - churned revenue. If you're adding $50K in new MRR but losing $20K to churn, your net growth is $30K. Our SaaS mode lets you input churn rate separately to see how it impacts your long-term projections—often the difference between hitting targets and missing them.

Should I create multiple revenue forecast scenarios?

Absolutely. Best practice is modeling three scenarios: conservative (70% of target growth), realistic (your expected outcome), and optimistic (stretch goal). This prepares you for different outcomes and helps stakeholders understand the range of possibilities. Our calculator generates all three simultaneously with one set of inputs.

Revenue Forecast Calculator

Calculate projected revenue with our free forecast tool. Compare growth scenarios, get industry benchmarks, and export investor-ready projections.

Enter Your Values

Current Monthly Revenue*

Your average monthly revenue over the last 3 months (MRR for SaaS)

Expected Monthly Growth Rate*

Your target month-over-month growth percentage (industry avg: 3-8%)

Forecast Period (Months)*

months

How far ahead to project (12 months recommended for accuracy)

Monthly Churn Rate (Optional)

Percentage of revenue lost monthly to cancellations

Monthly Expansion Rate (Optional)

Revenue growth from existing customers (upsells, upgrades)

Scenario Variance

How much conservative/optimistic scenarios differ from realistic

Formula

Projected Revenue = Current Revenue × (1 + Net Growth Rate)^Months

Calculates compound growth adjusted for customer churn and expansion revenue. Net Growth Rate = Growth Rate + Expansion Rate - Churn Rate. Each month's growth builds on the previous month's total.

Projected Monthly Revenue (Month 12)$89,793

Strong 80% implied annual growth. In line with growth-stage SaaS ($1-10M ARR).

Implied Annual Growth Rate79.6%

Net Monthly Growth Rate5.0%

Total Revenue Over Period$835,649

Revenue Multiplier1.80x

Conservative Scenario$75,553

Optimistic Scenario$106,455

Forecast Range$76K - $106K

Projected ARR$1,077,514

Monthly Revenue Growth$39,793

Revenue Growth Benchmarks by Stage

Early-stage80%+ annual — Early-stage startups, pre-PMF to Series A

> $80

Growth-stage50-80% annual — Growth SaaS ($1-10M ARR)

$50 – $80

Established20-50% annual — Established SMB, scaling companies

$20 – $50

Mature10-20% annual — Mature business, market leaders

$10 – $20

Slow<10% annual — Needs growth acceleration

< $10

Source: OpenView SaaS Benchmarks, KeyBanc SaaS Survey 2024

How to Forecast Revenue

Enter your current monthly revenue (or MRR for subscription businesses)
Set your expected monthly growth rate (industry average is 3-8%)
Choose your forecast period (12 months recommended for accuracy)
Optionally add churn rate and expansion rate for SaaS businesses
Set scenario variance to see conservative and optimistic projections
View projected revenue with implied annual growth rate
Compare scenarios and chat with our AI for growth strategies

Revenue Growth Benchmarks by Stage

100-200% annual

Early-stage SaaS (< $1M ARR)

50-80% annual

Growth-stage SaaS ($1-10M ARR)

10-25% annual

Established SMB

15-30% annual

E-commerce average

3-7% monthly

Healthy SaaS churn rate

<2% monthly

Net revenue churn target

>30% of new revenue

Expansion revenue target

Source: OpenView SaaS Benchmarks, KeyBanc SaaS Survey 2024

Revenue Forecast Calculator

Revenue Growth Benchmarks by Stage

How to Forecast Revenue

Revenue Growth Benchmarks by Stage

Frequently Asked Questions

How do you calculate projected revenue?

What's a realistic revenue growth rate to project?

How far ahead should I forecast revenue?

What's the difference between linear and compound revenue growth?

How do I account for churn in revenue forecasts?

Should I create multiple revenue forecast scenarios?