The Revenue Run Rate (also run rate — one word) would be the company’s annualized revenue if you were to extrapolate the current income over a year. It refers to a company’s financial performance based on current financial information to predict future performance. The run rate functions as an extrapolation of recent financial performance and are based on the assumption that current conditions will continue. Run rates are helpful for new business or business units within a company that has only had a short period of revenue generation opportunity. This figure allows managers, venture capitalists, and investors to measure annual revenue.
The Revenue Run Rate (also run rate — one word) would be the company’s annualized revenue if you were to extrapolate the current income over a year. It refers to a company’s financial performance based on current financial information to predict future performance. The run rate functions as an extrapolation of recent financial performance and are based on the assumption that current conditions will continue. Run rates are helpful for new business or business units within a company that has only had a short period of revenue generation opportunity. This figure allows managers, venture capitalists, and investors to measure annual revenue.
