Net Revenue Retention (NRR)
Definition
NRR measures how revenue from an existing customer cohort changes over a year, including expansion, contraction, and churn. Above 100 percent means the base grows by itself.
How it comes up in fundraising
NRR above 100 percent is the strongest single signal in SaaS fundraising: the company would grow even with zero new sales.
Frequently asked questions
What is a good NRR benchmark?
Above 100 percent is fundable, 110 percent-plus is strong, and 120 percent-plus is elite, typical of usage-based or expansion-heavy models.
How is NRR different from gross retention?
Gross retention caps at 100 percent and ignores expansion; NRR includes upsells, which is why it can exceed 100.
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