The Recurring Revenue Myth

Recurring revenue feels safer, but the same dollars taken upfront and put back to work grow into far more.

Chart: The Recurring Revenue Myth. Recurring revenue feels safer, but the same dollars taken upfront and put back to work grow into far more.
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The mechanism

The chart follows two money lines over twelve months, both starting from the same $50,000. The green line is a project paid upfront and put back to work; it climbs steadily to about $175,000. The red line is $10,000 a month that hits a "churn cliff" when a client leaves, and it flatlines near $50,000. Same total dollars, but cash you get early and reuse builds on itself, while month-to-month income can stall the moment someone cancels.

Part of Productization. How you package and price the work.