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Recurring Revenue

Recurring revenue refers to the predictable and ongoing income that a company generates from a stable, often subscription-based source. It is revenue that a business can rely on to continue coming in on a regular basis, rather than being tied to one-time sales. Recurring revenue can come from a variety of sources, such as monthly or annual subscriptions, service contracts, and ongoing maintenance fees. This type of revenue is highly valued by investors and business owners because it provides a more stable and predictable income stream, which can help to reduce the risks associated with fluctuations in sales and seasonal demand. By building a strong base of recurring revenue, companies can achieve long-term financial stability and growth