Churn Rate

The percentage of customers or revenue lost over a given period.

Churn measures how many customers (logo churn) or how much revenue (revenue churn) you lose each period. Low churn signals product-market fit and strong retention; high churn undermines growth and worries investors. Negative net churn (expansion exceeding losses) is a powerful signal.

Examples

Losing 5 of 100 customers in a month is 5% monthly churn. — A SaaS company achieves negative net revenue churn through upsells.

How it relates to The Startup Foundry

Retention is central to scalability. The Foundry helps you surface and improve churn before investors ask.

Related terms

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