MRR and Monte Carlo

tl;dr: The Monthly Recurring Revenue (MRR) model is a marketing model that examines a customer as a stream of recurring revenue instead of a single transaction. Its use has been popularized by Software as a Service (SaaS) firms and their ‘freemium’ models that encourage users to subscribe to extra features. I set out to formalize a predictive framework for this model (and hopefully teach myself a couple new languages along the way) in order to create a single “living” business plan using the Monte Carlo method and a fictional business: “Ties as a Service”.

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