Score the 3 Things Your NRR Number Doesn't Show You
For founders who report NRR every quarter and have never once been asked to defend what's underneath it.
π― Why This Matters
Your NRR looks fine. That's not the same as your retention being fine.
A blended NRR number can hide a lot: cohorts that are quietly decaying even while the top-line figure holds, growth that's coming from three accounts instead of your whole base, expansion that's really just a price increase wearing a different label.
You don't find out which one you've got by looking at the number again. You find out by pulling it apart.
This scorecard takes 5 minutes and tells you where to look.
π¨βπ» Built for Founders Who:
β Report NRR to a board or investor every quarter
β Are heading into a raise or exit in the next 12 to 24 months
β Have never pulled a cohort retention curve themselves
β Know the blended number but not what's sitting underneath it
β Would rather find their own blind spots than have diligence find them first
What You'll Discover
Three things diligence checks that your NRR number alone won't tell you
π Cohort Quality
Whether retention is holding steady across your customer base, or whether your newest cohorts are quietly retaining worse than the number you're reporting suggests.
π Expansion Dependency
Whether this year's growth is coming from genuine usage and seat expansion inside your existing accounts, or leaning on price increases and contractual escalators to get there.
π― Concentration Risk
Whether your retained revenue is spread across your base, or sitting on a small number of accounts that could take your NRR from healthy to concerning in a single quarter if one of them left.
Perfect For A SaaS Founder Who:
β Reports retention numbers to a board and wants to be able to answer the follow-up question
β Is preparing for a raise or exit and wants to know what diligence will surface before it starts
β Has a gut feeling the NRR number is propped up by a couple of accounts and wants to check
β Wants an honest read on retention quality, no raise or exit on the horizon required
β Is tired of guessing whether "good NRR" means good retention or good luck
Beyond The Score
This isn't about second-guessing a number you already trust. It's about knowing what's holding it up.
With this scorecard, you'll:
β Know whether your retention story would survive diligence
β Spot cohort decay before it shows up in a blended number six months from now
β Understand exactly how dependent your growth is on your largest accounts
β Walk into your next board meeting able to answer the question before it's asked
Sign up for Cornell's Retention Scorecard
Nine questions. A score. Three blind spots most founders don't check until someone else does.
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