Does your retention data feel off—or even meaningless—because of catch-up invoices, credit notes, or daily revenue recognition? In episode #301, Ben Murray explains how proper revenue recognition practices can sometimes interfere with clear retention reporting and what SaaS operators can do about it.

Learn how to build a pro forma MRR schedule that strips out accounting noise and gives you clean, consistent retention metrics you can actually rely on.

What You’ll Learn

• Why revenue recognition can distort retention metrics, even if your accounting is correct
• The difference between GAAP-based MRR and a pro forma MRR schedule
• How Ben built and used a pro forma model during a private equity exit process
• How to build your own pro forma MRR schedule using invoice data
• The critical role of invoice data as your source of truth

Tools & Resources

BackOfficeTools App: Upload your invoice data and generate retention metrics. Check out the tutorial here to learn more and sign up: https://www.thesaasacademy.com/offers/zz3ZR2WL

Key Quote from Ben

“We still follow proper revenue recognition, but when it comes to retention, sometimes we need a second view. A pro forma MRR schedule helps us cut through the noise.”