What's the Difference? ARR vs. Run Rate Revenue

Connor answers another founder request – "Aren't run rate revenue and ARR the same thing?"

ARR, annual recurring revenue, is a good way for investors to see how much of your revenue is happening on a regular basis. So what's the difference between that and run rate?

The difference is that:
ARR plus all of the additional revenue that you make that's not necessarily recurring equals your run rate revenue.To keep things really simple, run rate revenue equals last month's revenue times twelve.

Annual recurring revenue equals last month's *subscription revenue only* multiplied by twelve.

If you still have questions after watching this video, give me a shout!