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The Dirty Little Secret About Recurring Monthly Revenue

I’m gazing through my crystal ball and the ball is telling me that the more recurring monthly revenue you generate, the more predictable your business will be and the more profitable it will be well into the future. Recurring revenue will also make your business more valuable if you ever want to sell it.

Recurring monthly revenue is the single most important element of building a security company you could sell one day for a tidy payday.

One of the key metrics that a buyer looks for is your percentage of renewal rates for your contracts. An acquirer will need to be confident that your company will continue to generate RMR after your long gone. Repeat customers are so wickedly important to the value of your business and that you need to convince a large portion of your clients to sign up for a contract or subscription.

Bust – To – Boom Cycles
The best thing you can for your security business is to have as many M.S.I. (Multiple Streams of Income) pouring into your bank account as possible. The most important thing I teach in my coaching club programs is to create Multiple Streams of Income. The beauty of RMR is starting the month off knowing you already have some sales, guaranteed. Having this visibility into your future revenue allows you to plan your time and marginalizes the worry about when your next job will be. The security industry is not like the sheet-rocking industry where you lug heavy-ass boards of blue board up 5 flights of stairs and you have nothing to show for it after you do the job of sheet-rocking the condo.

The potential for RMR in the security industry is humungous! I can’t think of another industry that has as many lucrative ways of creating RMR, out of thin air. Here are just a few ways to create more RMR in your security business:

  • Off Site Video Storage
  • Interactive Video Monitoring
  • Intercom Data Base Maintenance
  • Managed Access Control System
  • Service Maintenance Contracts
  • Locksmiths Key Replacement System
  • Digital Cell Back-up
  • Fire Alarm maintenance Contracts
  • Audio/Video Maintenance Agreements
  • Real Estate Investments
  • Franchising Your Security Business
  • Creating Multiple On-Line Websites To Sell Security Products Around The Globe
  • Business Mentoring
  • Licensing Your Intellectual Property
  • Pre-selling Blocks of Labor Hours
  • Selling Ad Space In Your Quarterly Client Newsletter
  • Honeywell Total Connect
  • Interactive Services
  • Short Term Video Equipment Leases
  • Construction Site Video Monitoring
  • Selling Banner Ad’s On Your Website

The Dirty Little Secret About RMR
Your RMR will only grow to the extent that you grow as a business person. What You can not and will not outperform is your own self-image. Everyone in the security industry talks about how you can make a fortune in the industry, which is true. What they fail to say is that you have to work on your self image, your self esteem/business-esteem, your business acumen, your technical savvy, your sales and marketing expertise, your people skills and hone the ability to stick to it when the going gets tough and the tough get going.

Just An Hour A Day…
If a security entrepreneur devoted just one hour a day, in private contemplation, thinking about nothing but how can I be of greater service to my clientele and add more income streams (and value) to my security business, he would be rich beyond imagination in short order. You will become and achieve what you think about.


  1. Bob Smith says

    Bob great info on the RMR, as usual up to date cutting edge information. Always providing material that every security provider can use, to grow their business into a Kick Butt Security Company! Now let’s go make it Tough on the Bad Guys!
    Smokin in Texas!!!

  2. Bob Maunsell says

    Hey Bob,
    I appreciate the kind words! I’m glad you enjoyed my RMR blog post! Now Lets Go Stop The Thieves In Texas!

    Have a Gr8 weekend!


  3. Kevin Cunningham says


    Great Information on RMR, but answer me one thing, is recurring installation income to be considered as a stream of income when calulating RMR?



  4. Bob Maunsell says

    Hi Kevin,

    Thanks for the kind words. Anything that you can depend on coming on a monthly basis is considered part of your RMR. The most common RMR generators for security dealers are alarm monitoring, video monitor, cellular backup monitoring, service contracts billed on a monthly basis. I’m not quite sure what you mean by “recurring installation income, but I’ve given you an example of RMR so take it from that. By the way, you may want to sign up for our free eCourse, “10 Steps to Selling At Prices Higher Than Your Competition.” You can do so on the home page of our website at

    Stay Frosty (its’ about to snow here in Mass)!

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