Revenue Terms
Prepaid Credit Balance (Remaining Commitment)
Prepaid Credit Balance (Remaining Commitment): The prepaid commitment customers have paid for and not yet consumed or forfeited: the part of the deferred revenue balance that is prepaid consumption.
Used In
Related Terms
Other definitions in Revenue Terms:
MRR (Monthly Recurring Revenue)
The total predictable revenue from active subscriptions, normalized to a monthly value.
ARR (Annual Recurring Revenue)
MRR × 12. The annualized value of recurring revenue.
New MRR
MRR added from newly acquired customers in the period.
Expansion MRR
Additional MRR from existing customers (upgrades, add-ons, seat increases).
Churned MRR
MRR lost from customers who cancelled.
Contraction MRR
MRR reduction from existing customers who downgraded (but didn't churn).
Carry MRR
MRR from existing customers that renewed unchanged. No expansion, contraction or churn.
Net New MRR
The net change in MRR after all movements.
Revenue (GAAP)
Recognized revenue according to ASC 606 accounting standards.
Bookings
Total contract value signed in a period.
ACV (Annual Contract Value)
The annualized value of a contract, normalizing multi-year deals to a single year. When aggregated, represents average deal size on an annual basis.
ARPA (Average Revenue Per Account)
Average monthly recurring revenue per customer account.
Consumption Revenue
Revenue earned as customers use the product: consumption drawn from a prepaid balance, billed as overage above a commitment or billed on demand with no commitment.
Usage Run-Rate (Usage ARR)
On-demand consumption revenue over the trailing three months, annualised. Added to ARR it gives ARR Including Usage Run-Rate without counting any usage twice.
Credit Breakage
The prepaid balance forfeited at expiry in a period. The commercial fact behind breakage revenue, which the accounting standards recognise on their own timing.