Free tool

Churn rate calculator

Enter your starting customers and how many you lost. Get churn rate, retention, average customer lifetime, and a simple LTV — with the retention curve.

Lifetime ≈ 1 ÷ churn; LTV ≈ ARPA ÷ churn. A simple model — gross revenue churn and expansion change the full picture.

Churn rate

3%

Retention

97%

Avg lifetime

33 mo

LTV

$2,667

Retention curve — 100 customers over 12 months

See churn beside the feedback behind it How the spine surfaces at-risk revenue

Beyond the number

A churn rate tells you that customers leave — not why.

The leak under growth. You can win MRR all year and still stall. Retention is the floor everything else stands on.

Churn has an address. When churn links to the accounts and the support themes behind it, you fix causes — not a percentage on a slide.

Revenue-weighted, not logo-counted. Losing one large account hurts more than ten tiny ones. Churn beside revenue shows which losses actually matter.

FAQ

Churn & retention questions

How do I calculate customer churn rate?
Customer churn rate = customers lost in a period ÷ customers at the start of that period. For example, losing 6 of 200 customers in a month is a 3% monthly churn rate (97% retention).

How does churn rate relate to customer lifetime and LTV?
Average customer lifetime ≈ 1 ÷ churn rate. At 3% monthly churn that is about 33 months. Multiply by ARPA for a simple LTV — at $80/mo that is roughly $2,667.

What is a good churn rate for SaaS?
For SMB-focused SaaS, 3–5% monthly logo churn is common; best-in-class and enterprise-focused products run well below 1% monthly. Lower churn compounds — small improvements in retention have an outsized effect on LTV and growth.

Why does churn matter more than it looks?
Churn is a leak under your growth. You can add MRR all year and still stall if it drains out the bottom. Tying churn to the customers and feedback behind it — not just a percentage — is how you fix the cause, not the symptom.

More free tools: MRR & ARR · RICE prioritization · Rule of 40 · stack cost.