Growth rate calculator
Simple growth rate, CAGR (compound annual growth rate) and month-over-month growth, with doubling time and a trend chart.
Growth result
Simple growth rate
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Enter values to see the trend
Monthly trend
- Value
| Month | Value | MoM growth |
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How it works
A growth rate calculator measures the percentage change in a business metric over time. Simple growth compares two points in time. CAGR (compound annual growth rate) smooths multi-year change into a single annual rate. Month-over-month growth tracks a series of values to spot a trend.
- Pick a mode
Simple growth for two points, CAGR for a multi-year rate, or month-over-month for a series.
- Enter the values
The result updates as you type.
- Read the doubling time
The Rule of 72 estimate of how long the current rate takes to double the value.
The formulas
Simple growth rate compares a start and an end value:
Growth = (End − Start) / |Start| × 100
Growing from 1,000 to 1,500 gives (1,500 − 1,000) / 1,000 × 100 = 50%.
CAGR (compound annual growth rate)
CAGR = ((End / Start)1/periods − 1) × 100
Growing from 10,000 to 25,000 over 5 years gives (25,000 / 10,000)0.2 − 1 = 20.11% a year. A business that doubles over 5 years has a simple growth rate of 100% but a CAGR of about 14.87% a year, since CAGR accounts for compounding.
Rule of 72
Doubling time ≈ 72 / growth rate
At 10% a year, a value doubles in about 7.2 periods. This is an estimate, accurate enough for quick planning, not an exact formula.
Reading month-over-month growth
A single strong or weak month can swing the average. Look at the trend line and the month-by-month table together, and treat a transition from a zero value as not applicable rather than a real percentage.
Frequently asked questions
How do you calculate growth rate?
Simple growth rate equals (End value minus Start value) divided by the size of the start value, times 100. Growing from 1,000 to 1,500 users gives a 50% growth rate. This formula works for any two-point comparison. For multiple periods, use CAGR to smooth out volatility. For a series of monthly figures, use month-over-month analysis to track the trend and spot inflection points.
What is CAGR and when should I use it?
CAGR, compound annual growth rate, is the smoothed annual growth rate over multiple years, calculated as (End divided by Start) to the power of 1 over periods, minus 1. Use it when comparing performance across multi-year periods or benchmarking against industry growth. Unlike simple growth, CAGR accounts for compounding and removes the distortion of volatile intermediate years, which makes it the standard metric for multi-year business growth reporting.
What is a good month-over-month growth rate for a startup?
Early-stage startups in growth mode typically target 5 to 15% month-over-month growth, though top performers in their first year can reach 20 to 30% or higher. For a mature business, even 3 to 5% month-over-month is strong. Context matters more than the number: a consistent upward trend with low volatility is usually worth more than spiky growth that masks churn or seasonality.
What is the Rule of 72 in growth calculations?
The Rule of 72 is a quick shortcut: divide 72 by the growth rate to estimate how many periods it takes a value to double. At 10% annual growth, doubling time is about 7.2 years. At 36% annual growth, it doubles in about 2 years. It is an approximation, but accurate enough for fast planning and for explaining a growth trajectory to a non-technical audience.
What is the difference between simple growth rate and CAGR?
Simple growth rate measures the total change from a start point to an end point, regardless of how long that took. CAGR measures the equivalent annual rate that would produce that same total change through compounding over a stated number of years. A business that grew 100% over 5 years has a simple growth rate of 100% but a CAGR of about 14.87% a year: two correct numbers that tell different stories.