Gaps in Your MRR Schedule Wreak Havoc on Retention
Even small errors in your MRR schedule can have a massive impact on your retention metrics, and in due diligence, that can destroy investor confidence.
In episode #318, Ben Murray explains why gaps in your monthly recurring revenue (MRR) schedule create inaccurate gross revenue retention (GRR) and net revenue retention (NRR) results — and how poor invoicing and renewal practices are often the root cause.
You’ll learn how to identify, fix, and prevent these gaps so your SaaS financial reporting and valuation metrics remain accurate and investor-ready.
What You’ll Learn
✅ What causes gaps in your MRR schedule (and how to spot them).
✅ How MRR gaps distort your retention, expansion, and churn calculations.
✅ Why these data issues raise red flags in due diligence.
✅ How to align renewal dates, contracts, and invoicing to eliminate data breaks.
✅ What a clean, accurate MRR waterfall should look like for SaaS and AI companies.
✅ Why you need at least three years of clean retention data before a fundraise or exit.
Why It Matters
- For CFOs & Finance Teams: Gaps cause misleading GRR/NRR trends that erode trust in your data.
- For Founders & CEOs: Bad MRR data can hurt company valuation and slow down fundraising or acquisition.
- For Investors: Clean MRR schedules provide transparency into predictable revenue and retention strength.
- For Accountants: Accurate MRR waterfalls enable stronger financial modeling and forecasting.
Resources Mentioned
SaaS Metrics Foundation Course: https://www.thesaasacademy.com/the-saas-metrics-foundation
Quote from Ben
“If there are gaps in your MRR schedule, your retention story falls apart — and investors will notice.”