Glossary Term

Recurring Revenue

Revenue that repeats on a predictable cadence instead of depending entirely on new one-off sales.

Definition

Recurring revenue is income that continues on a defined rhythm, such as monthly retainers, subscriptions, memberships, or licensing renewals. It improves planning, lowers volatility, and often makes a business more valuable.

Example

A monthly website support plan or member resource library is a recurring revenue layer.

Why it matters

Recurring revenue should not be added as a gimmick. It works best when it matches an ongoing need the buyer actually values.

Related terms

Productized Service Digital Asset