In government, the term revenue stream often refers to different types of taxes.
It could take the form of bills paid monthly by consumers, or commercial contracts lasting several years.
[4] This number excludes all one-time, non-recurring payments; for instance, implementation or professional service fees, hardware, and discounts.
[8] The MRR indicator is important for analysts: these specialists determine which areas of the company should be improved, which should be abandoned, where to invest money.
A customer in a clothing store, buying a new jacket, generates a transaction based revenue.
Companies that rely entirely or largely need to invest a lot of effort into maintaining customer relationships.
This model is desirable because often a contract binds the customer to pay for the offered product or service.
An example of how businesses are managing to create new revenue streams without substantial capital investment,[16] can be found in gastronomy.
Offering a catering service does not require the huge amount of investment, whereas opening a new restaurant does.
This allows restaurants to increase the number of revenue streams without needing large investments.