The SaaS Quick Ratio measures growth efficiency by comparing the MRR a company gains to the MRR it loses in the same period.
What is SaaS Quick Ratio?
The Quick Ratio shows whether growth is durable or leaky. A high number means you're adding far more than you lose; a number near 1 means you're running hard just to stay flat.
How to calculate SaaS Quick Ratio
Worked example
You add $28,000 (new + expansion) and lose $8,000 (contraction + churn). Quick Ratio = $28,000 ÷ $8,000 = 3.5.
What's a good SaaS Quick Ratio?
A SaaS Quick Ratio of 4 or higher is considered healthy for a growth-stage company — $4 gained for every $1 lost.
Frequently asked questions
How is the SaaS Quick Ratio different from the accounting quick ratio?
Completely different. The accounting quick ratio is a liquidity measure (assets vs liabilities). The SaaS Quick Ratio measures growth efficiency from MRR movements.
What does a low Quick Ratio tell me?
That churn and contraction are eating your growth. Even with strong new sales, a leaky base caps your net growth.
Related metrics
Track SaaS Quick Ratio automatically
atSpark calculates SaaS Quick Ratio and 150+ other SaaS metrics from your live Stripe, HubSpot, QuickBooks, and Zoho data — and answers questions about them in plain English.