๐ When you’re tracking business revenue, website traffic, sales numbers, or even population growth, knowing your growth rate helps you understand how fast things are changing โ and in what direction.
Our Growth Rate Calculator makes it easy to figure out the percentage increase (or decrease) between two values over time, so you can measure your performance and plan for the future.
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Enter a label (e.g. Hardware), the start and end values. The tool will provide the growth rate and a graph to help visualize the results.
๐โโ๏ธ What Is Growth Rate?
Growth rate tells you the percentage change between a starting value and an ending value over a period of time. Itโs a common metric in business, finance, and economics used to track performance and momentum.
You can use growth rate to analyze:
- Revenue or sales over months or years
- Followers or subscribers on a platform
- Customer base or users of a service
- Expenses, costs, or even investments
๐ข Growth Rate Formula
The formula is straightforward:
Growth Rate (%) = [(Ending Value โ Starting Value) รท Starting Value] ร 100
It tells you how much something has increased or decreased compared to where it started.
โ Example
Letโs say your revenue grew from $40,000 to $50,000:
Growth Rate = [(50,000 โ 40,000) รท 40,000] ร 100 = (10,000 รท 40,000) ร 100 = 25%
So your business experienced a 25% growth over that period. ๐
If the ending value is smaller than the starting value, the result will be negative, indicating a decline.
๐ Why Growth Rate Matters
Understanding growth rate helps you:
- Measure the impact of your strategies
- Forecast future performance
- Identify what's working and what's not
- Communicate results with stakeholders
Itโs also great for comparing progress across different departments, time periods, or even competitors.