# Gross revenue retention

A term used when buying saas.

What last year's customers still pay this year before any upgrades, capped at one hundred percent.

[Net retention](https://searchspheresource.com/glossary/net-revenue-retention) can look healthy while the base is leaking, because a handful of expanding accounts hides everyone shrinking or leaving. [Gross retention](https://searchspheresource.com/glossary/gross-retention) cannot, since it only counts losses. Ask for both and treat the gap between them as a measure of how concentrated the growth is. Under a bank loan the distinction stops being academic: debt service is paid out of the revenue that stays, not the revenue that might expand.

Part of: Buying a SaaS Business (https://searchspheresource.com/guides/buying-a-saas-business)

Source: https://searchspheresource.com/guides/buying-a-saas-business/terms/gross-revenue-retention
Not dated: The same editorial definitions as the glossary, inside a trade.

Site index for machines: https://searchspheresource.com/llms.txt