The Full Form of RMR is Recurring Monthly Revenue.

Monthly recurring revenue (MRR) or monthly recurring charge (MRC) is the consistent monthly amount that you can expect to have as revenue for your company. MRR and MRC are two different terms that are used to define and understand the world of recurring revenue, also known as predictable revenue.

MRR is the most important metric in a PaaS, SaaS, or IaaS business model. These can include items such as service contracts, support contracts, or maintenance contracts.

As a company grows its subscribing customers, so too will the MRR of the company grow, thereby increasing the value to the company’s investors.

Each of these examples are all using a subscription system to attract customers to pay a monthly price for their products and services. They use the subscription model as a way to gain long-term revenue by continuing to modify and change their offerings as a way to keep these customers.

Investors of these companies love the subscription model because there are primary finance functions that are calculated using an MRR model.