{
  "version": "1.3.0",
  "releasedAt": "2026-05-20",
  "kpi": {
    "rogueId": "sales.starting_arr",
    "slug": "starting_arr",
    "domain": "sales",
    "defaultLabel": "Starting ARR",
    "description": "Opening ARR at the beginning of the period — the baseline against which the period's ARR waterfall (new + expansion − downgrades − churn) reconciles to ending ARR. Equal to the prior period's closing ARR by construction. The FlowSubform widget binds starting_arr as the `start` slot of the ARR-bridge flow, and the ending position is computed as start + Σ(deltas). Common pitfall: restating starting_arr mid-period to \"fix\" a prior-period reporting error breaks the period-over-period audit trail; corrections should land as a separate restatement note, not by editing the opening balance.",
    "fieldType": "currency",
    "unit": null,
    "maturity": "general",
    "suggestedForStages": [
      "preSeed",
      "seed",
      "seriesA",
      "seriesB",
      "seriesC",
      "public"
    ],
    "defaultOwningFunctions": [
      "Finance",
      "Sales"
    ],
    "stageRelevance": {
      "preSeed": "core",
      "seed": "core",
      "seriesA": "core",
      "seriesB": "core",
      "seriesC": "core",
      "public": "core"
    },
    "definitionSource": {
      "tier": "editorial",
      "sourceName": "imboard Editorial",
      "sourceUrl": null,
      "sectionRef": null,
      "publicationDate": "2026-04-01",
      "attributionNotice": null
    },
    "formula": "Starting ARR = ARR snapshot at period open = the prior period's closing ARR. Identity that must hold: starting_arr + new_business + expansion − downgrades − churn_arr = ending ARR (sales.arr at period close). Reconcile any gap as a \"data quality\" line and root-cause it before next period.",
    "whyItMatters": "The anchor of the ARR waterfall — without an explicit starting point, the period's net-new ARR cannot be audited. Boards expect the waterfall to reconcile to the penny, period over period.",
    "interpretationGuidance": "If starting_arr ≠ prior-period ending ARR, there is either a restatement or a data issue — surface it explicitly. Beyond that the value itself is descriptive, not interpretive; the interpretive work happens on the delta lines.",
    "relatedKpiIds": [
      "sales.arr",
      "sales.new_business",
      "sales.expansion",
      "sales.churn_arr",
      "sales.downgrades"
    ],
    "calculationPolicy": {
      "inclusionRules": [
        "ARR snapshot at the exact open of the period.",
        "By identity, equals the prior period's closing ARR (`sales.arr` at prior period close)."
      ],
      "exclusionRules": [
        "Any in-period activity (new business, expansion, churn, downgrades) — Starting ARR is the opening balance only.",
        "Restatement corrections — never edit the opening balance to fix a prior error; land corrections as an explicit restatement line."
      ],
      "requiredInputs": [
        "Prior period's closing ARR."
      ],
      "dataSourcePriority": [
        "Prior period's board-reported closing ARR (the audited / agreed number)."
      ],
      "edgeCases": [
        "First period a company tracks ARR: Starting ARR is whatever the historical ARR was at that open; if unknown, disclose as \"first tracked period — opening balance estimated.\"",
        "Restatement of a prior period: Starting ARR for the current period uses the RESTATED prior close, with the restatement disclosed. Do not silently absorb it.",
        "Acquisition that closed exactly at period open: decide whether acquired ARR is in the opening balance or appears as an in-period inorganic line, and disclose."
      ],
      "validationChecks": [
        "Starting ARR === prior period closing ARR. Any inequality is a restatement or a data error — never let it pass silently.",
        "Starting ARR + New Business + Expansion − Downgrades − Churn === Ending ARR. The waterfall must reconcile to the penny."
      ],
      "commonMiscomputations": [
        "Restating Starting ARR mid-stream to \"fix\" a prior reporting error — breaks the period-over-period audit trail; corrections belong in a restatement note.",
        "Using current-period ARR as the starting balance (off-by-one-period error) — the whole waterfall then fails to reconcile.",
        "Letting Starting ARR drift from prior closing ARR because the two are computed by different teams from different snapshots.",
        "Folding acquired ARR into Starting ARR without disclosure — masks how much of \"growth\" was inorganic."
      ]
    },
    "metricBasis": {
      "timeBasis": "point_in_time",
      "moneyBasis": "contracted_arr",
      "dateBasis": "go_live",
      "production": "computed"
    }
  }
}