# MRR built from movements, not from a sum of deals A subscription is a contract with a period and a monthly amount. Krokul sums the month’s movements — new, expansion, contraction, churn with a reason — and locks the closed month. **In short.** Krokul is a B2B CRM for companies with recurring payments: a subscription is a contract with a period and a monthly amount; monthly MRR is built from movements — new clients, expansion, contraction, churn with a reason from a list; renewals are done from the record without a new contract; a closed month is locked and can’t be rewritten retroactively, and the report traces every movement to its contract. The Revenue forecast report shows what will come in over the coming months. **Who it’s for:** SaaS and subscription services; IT companies with support packages and recurring fees; equipment rental and recurring B2B services. **Plan:** Available from the Money plan, $149 per month, 1,000 transactions included ## What it looks like without Krokul 1. MRR is calculated in a spreadsheet from an invoice export. The March number is different every time, because someone added an invoice retroactively. 2. A client cut their plan in half, and all you see is “revenue is lower”. What actually happened — contraction, churn or a late payment — you have to ask around. 3. Renewing a subscription means a new contract, a new invoice, re-entering line items. The renewals rep spends a day on something that should happen on its own. ## What Krokul does ### A subscription is a contract with a period Every contract with a period and a monthly amount is a subscription. Krokul knows when it starts, when it ends and how much it brings in per month. ### Movements, not a total Each month counts new, expansion, contraction and churn. Every movement traces back to a contract and a client company, so “revenue is lower” has an address and a reason. ### Churn with a reason A cancellation is recorded with a reason from a list: price, switched to a competitor, went out of business, didn’t use it. Reasons add up by segment and by rep. ### A closed month stays closed A month is closed in one action; an invoice added later goes into the next period instead of changing a number already reported. Only a role with that permission can reopen a month. ## How it works 1. **A contract with a period becomes a subscription** The contract sets a start, an end and a monthly amount. Krokul treats such contracts as subscriptions; one-off contracts aren’t affected. 2. **Krokul records the month’s movements** A new contract is “new”, a change in amount is “expansion” or “contraction”, an end without renewal is “churn”. The report is built from these movements for every contract. 3. **Renew from the record, no new contract** The renewals rep sees subscriptions ending this month and renews them in a few clicks; the invoice is issued from the same contract. 4. **The month is closed** At the end of the period, the person responsible closes the month. The number is locked; anything that arrives later goes into the next one. ## Result - The owner sees not just how much MRR there is, but why it changed — down to the contract. - Churn has a reason, so you can work on it by segment instead of guessing. - Last month’s number in April is the same as it was in March. ## What’s not included Krokul doesn’t charge clients’ cards and isn’t a billing system: invoices are issued on schedule, and payments are confirmed from a bank statement or through a payment service. There is no revenue recognition under accounting standards. ## Questions ### Does this work for annual subscriptions? Yes: the annual amount is split across the months of the period and enters MRR in equal parts, not as a lump sum in the month of payment. ### What happens if a client pays late? The subscription stays active and MRR doesn’t change, but the invoice becomes overdue and shows up in the debtors list by aging. Churn is recorded only when the contract isn’t renewed. ### Can I fix a mistake in a closed month? Yes, with a role that has permission to reopen the month; the reopening and closing stay in the audit log. ### How is this different from MRR in an analytics tool? An analytics tool calculates MRR from payment system transactions and doesn’t know why a client left. In Krokul MRR comes from contracts, next to the client’s deal, invoice, payment and tickets, so every movement has a client company, a rep and a reason. ### How much does it cost? Subscriptions and MRR are included in the Money plan — $149 per month, 1,000 transactions included; new contracts and invoices count as transactions, MRR movements don’t. ### Can Krokul show how much money will come in over the next months? Yes, the Revenue forecast report for a quarter or a year. For each month there are three rows: active subscriptions in full; renewals of contracts whose term has ended, adjusted for the company’s churn; and open deals with an expected close date, multiplied by the stage probability. The forecast can be narrowed to one sales rep. ## Close your first MRR month Bring your contracts over from a spreadsheet, set periods and amounts — and the month’s movements add up on their own. All that’s left is renewing and closing. Included in the Money plan. ## Next in the chain - [The exchange rate is locked on the deal, not on the payment date](https://krokul.com/en/solutions/currency/index.md) - [Dealers place orders themselves, at their own prices](https://krokul.com/en/solutions/portal/index.md) - [A bank payment shows up in the deal right away, and the debtors list is ready every morning](https://krokul.com/en/solutions/payments/index.md) - [Tickets with SLA, right next to the client’s subscription](https://krokul.com/en/solutions/tickets/index.md) --- App: https://app.krokul.com/ · API: https://app.krokul.com/api/v1/docs