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The State of Revenue in 2026
How disciplined expansion and a widening enterprise pipeline carried annual recurring revenue past the three-year growth corridor — and what compounds it from here.
Executive Summary
Revenue did not merely grow this year — it changed shape. Net expansion overtook new logos as the primary engine, and gross retention held above 94% through every quarter.
Where the growth came from
Three forces separated this year from the last. The first was tier mix: enterprise contracts, once a rounding error, became the largest single source of new revenue and carried a materially higher expansion rate once live.
The second was time-to-value. Onboarding that once ran a full quarter compressed to under six weeks, pulling recognized revenue forward and lifting the year's realized total without any change to bookings.
The third, and most durable, was retention. Gross retention held above 94% every quarter while net retention climbed to 128% — the point at which a customer base compounds on its own, independent of new-logo velocity.
Taken together, these shifted the business from a top-of-funnel story to a compounding one. The projection line does not bend on optimism; it bends on installed base.
“We stopped selling to fill the funnel and started selling to compound the base. Everything downstream followed.”
| Segment | FY25 | FY26 | Growth |
|---|---|---|---|
| Enterprise | $1.1M | $4.3M | +291% |
| Mid-market | $1.6M | $3.1M | +94% |
| Self-serve | $1.0M | $1.5M | +50% |
| Total ARR | $3.7M | $8.9M | +142% |
Figures reflect annual recurring revenue at period close. FY26 shown at projected run-rate; enterprise segment includes multi-year contracts recognized ratably.
Breaking
the ceiling.
Projected annual recurring revenue crosses $8.9M by Q4, a decisive break above the three-year growth corridor.
Brand System & Digital Platform
Valid through · Aug 30, 2026
Larkspur is ready for national shelves, but a brand built for the farmers-market table reads small beside the category leaders it's about to join. This engagement rebuilds the identity and ships a commerce platform that scales with distribution.
Wordmark, palette, and packaging that hold their own at ten feet.
Headless storefront built to add SKUs and regions without a rebuild.
A messaging framework so every touchpoint sounds unmistakably Larkspur.
Interviews, audit, positioning workshop.
Wordmark, systems, full SKU range, guidelines.
Storefront, CMS, checkout, subscription flow.
Go-live support, analytics, hypercare.
| Phase | Deliverable | Fee |
|---|---|---|
| 01 | Discovery & strategy | $24,000 |
| 02 | Identity & packaging | $58,000 |
| 03 | Platform build | $76,000 |
| Total investment | $158,000 |
40% due on signature · 30% at Phase 02 approval · 30% on launch. Fees exclude third-party licensing, print production, and applicable tax.
Countersigning below authorizes Fieldnote Studio to begin Phase 01 and confirms the terms outlined in this document.
Performance overview
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Features
Sausalito · Marin CountyYou built it with AI. Sharing it was the painful part.
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