Relational Revenue

Our Formula & Methodology

Earned Relationship Index:

Subscription and Membership Earned Revenue/Total Expenses (less depreciation)

Earned Relationship Revenue

Earned relational revenue includes revenue earned from subscriptions and memberships.

Total Expenses

Following Nonprofit Finance Fund’s encouragement to examine performance on a strictly operating basis, we look at expenses before depreciation since depreciation is a non-cash expense that accounts for the reduced value of assets due to their use over the year.

A Breakdown of Our Methology