Startups track MoM growth closely – 15–20% a month is exceptional early on. Monthly figures are noisy; looking at the compound rate over several months smooths out one-off spikes.
How to use the Month-Over-Month Calculator
- Previous month value
- Current month value
- Value several months ago
- Number of months between them
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter last month’s and this month’s values, and optionally a starting value and number of months for the compound rate.
Tips
- Use consistent periods (a year or a quarter) for flow figures and period-end values for balances.
- Average opening and closing balances when a ratio mixes a flow with a stock.
- Benchmark against competitors in the same industry.
- Read the ratio together with others – profitability, liquidity and efficiency tell different stories.
Common mistakes to avoid
- Using sales instead of cost of goods sold for inventory ratios.
- Mixing gross, operating and net profit.
- Ignoring one-off items that distort a single year.
Inputs explained
| Field | What to enter |
|---|---|
| Previous month value | Amount in your currency |
| Current month value | Amount in your currency |
| Value several months ago | Amount in your currency |
| Number of months between them | A number |
What each result means
- Month-over-month growth = ([Current month value] – [Previous month value])÷abs([Previous month value])×100
- Change = [Current month value] – [Previous month value]
- Compound monthly growth rate = (([Current month value]÷[Value several months ago])^(1÷[Number of months between them]) – 1)×100
- Annualized growth = ((1 + [Month-over-month growth]÷100)^12 – 1)×100
Example values
How the main result changes when Previous month value changes and everything else stays at the example values above:
| Previous month value | Month-over-month growth (%) |
|---|---|
| 21,000 | 121.43 |
| 31,500 | 47.62 |
| 42,000 | 10.71 |
| 52,500 | -11.43 |
| 63,000 | -26.19 |
| 84,000 | -44.64 |
Formula
MoM growth = (this month − last month) ÷ last month × 100Compound monthly growth = (end ÷ start)^(1/months) − 1Annualized = (1 + monthly growth)^12 − 1Worked example
Inputs — Previous month value: $42,000; Current month value: $46,500; Value several months ago: $30,000; Number of months between them: 6.
Results — Month-over-month growth = 10.71 %; Change = $4,500.00; Compound monthly growth rate = 7.58 %; Annualized growth = 239.19 %.
Frequently asked questions
How do I calculate month-over-month growth?
(This month − last month) ÷ last month × 100.
What is a good MoM growth rate?
It depends on stage – early startups aim for 10–20%.
What is CMGR?
Compound monthly growth rate – the average monthly growth over several months.
What formula does the Month-Over-Month Calculator use?
MoM growth = (this month − last month) ÷ last month × 100.