Free template
Free SaaS MRR and deferred revenue template
List your contracts once. The schedule shows what you earn each month, what you bill, and how much sits in deferred revenue.
What is inside
- Contracts tab Customer, plan, monthly or annual billing, start month, term and monthly price, for up to 40 contracts.
- Schedule tab Twenty-four months of revenue recognized (MRR), billings, opening and closing deferred revenue, ARR, and counts of active, new and ending contracts.
How to use it
- Delete the three example contracts.
- Enter each contract with the first day of its start month, its term in months and its monthly price.
- Mark each as Monthly or Annual billing. Annual contracts are invoiced 12 months up front.
- Read the Schedule tab. Compare the closing deferred revenue with the balance in your books each month.
Using it in Google Sheets
- Open Google Sheets and choose File, then Import, then Upload, and pick the downloaded file.
- Choose "Replace spreadsheet" or "Insert new sheet(s)".
- Check the formulas and the dropdown lists after the import. Most carry over, but Google Sheets handles a few functions and formats differently.
Things to watch
- Straight-line only. Revenue is spread evenly over each contract's term. Upgrades, discounts, usage fees, credits and refunds are not modeled.
- Annual contracts need a 12-month term. Use terms that are multiples of 12 for annual billing.
- A planning view, not your accounting policy. How revenue is actually recorded follows your accounting policy and, for many companies, the revenue recognition standard. Your CPA decides.
- MRR is not an accounting term. Here it means the monthly revenue recognized from active contracts. Investors may define it differently, so state how you calculate it.
- Start at the first month. If contracts began before the first month shown, enter an opening deferred revenue balance.
Questions
What is deferred revenue?
Cash you have billed or collected for service you have not yet delivered. It sits on the balance sheet as a liability and moves to revenue as each month is earned.
What is the difference between MRR and revenue?
MRR is a metric for the monthly recurring amount from active contracts. Revenue is what your books record under your accounting policy. They are often close for simple monthly plans and different for annual prepay, discounts and one-time fees.
How does annual billing change the books?
Cash arrives in one lump, but revenue is earned over twelve months. The difference is deferred revenue, which shrinks each month.
Can I use it in Google Sheets?
Yes. Upload the file to Google Sheets and check the Schedule formulas after the import.
Want a fuller version with worked examples? See Valuation & Forecaster in the store. This free template stays free either way.
Want more than a template? See Month-End Close Workbook.
Want every toolkit? The toolkit membership includes all of them, with a lower rate if you pay yearly.
Related: SaaS bookkeeping, Cash flow and burn rate calculator, Deferred revenue for SaaS, explained, Monthly reporting, or all free templates.
These templates track your own numbers. They are not tax, legal or accounting advice, and MCC Solutions is not a CPA firm. Ask your CPA how rules apply to you.