Monthly and yearly recurring revenue properties updates

[LAshtar]

Hey 🙂

Why can't I update those properties on a deal? I'm going back to old deals and updating them with info we didn't insert before but when I try to write the number on those properties it doesn't let me.

Thanks!

[ZoeTrem]

The value of the MRR is wrong. It takes every line items total and divide them by the number of term length and sum everything. It's totally unusable. I've contacted technical support that tells me that it's normal because Hubspot has been set up like that. Here is a common example of everydays life

Let's say you've sold

• Year 1:
  • mobile abonment
  • 10€/month --> 120€/year
  • term length 1 year
• Year 2
  • mobile abonment combined with a internet abonement
  • 100€/month --> 1200€ per year
  • term length 1 year

Hubspot will calculate :

- MRR = 10€/month + 100€/month = 110€/month.

Annual revenue of 1320€/year.

Which is completly false

MRR year 1 = 10€/month

MRR year 2 = 100€/month

Average MRR = 55€/month

Average ARR: 660€

--> Hubspot can't be used for sales revenues if you have deals with different earning each year. Do you have any recommandation of other tools ? Maybe salesforce ? 

[Caito124]

Hi there,

@jfreeman Is there a way to override the auto-calculations? I enter line items, but I don't associate pricing for specific line items. We're a SaaS company and don't quote pricing in that way but rather upfront and monthly costs (which are different per sale due to negotiations). I want to enter the MRR and ARR manually for each deal. Is this possible?

Thanks!

Caitlin

[LAshtar]

Hi Joseph, thank you for the answer.

So If I want to make sure the MRR and ARR properties are updated correctly, which properties I need to fill in?

Those of the amount and those of the time so he would know how to divide it?

Thanks

[LAshtar]

Hi, just bringing it up again.

Tried to understand the line items term length... If I have a "custom" plan that the ARR changes by each customer do I need to create a new line item to each one?

[jfreeman]

Hi @LAshtar 

It's because those are auto-calculated. Here's a snippet from this knowledgebase article describing how that works:

Monthly recurring revenue (MRR): the recurring revenue each month for this deal. This is calculated using the values and term length of the recurring line items associated to the deal (i.e., total value divided by the number of months in the term length). It does not take into account the value in the Amount property. This is shown in the deal's currency, if your HubSpot account uses more than one currency.

Make sure you have recurring line-items associated with the deal. If you DO, let me know. Then that's a whole other issue to troubleshoot.