Model member dues, renewals and the platform's cut.
Recurring member dues, renewal rates and platform fees for paid communities and associations.
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A paid community earns recurring dues from members who joined for access to other members rather than to a product, which changes the retention shape. This template models monthly and annual dues with a mix between them, applies the platform's fee as a commission on collected revenue, and runs renewals rather than usage. Annual dues are treated separately from monthly because associations bill annually and the cash timing is materially different from a monthly consumer subscription.
Community platforms charge either a flat fee near $80 to $200 a month with a small transaction percentage, or a low base fee with a take rate up to ten percent, and which you choose changes your margin more than your pricing does. Annual renewal rates in the seventies are typical for associations and paid communities; monthly-billed communities churn considerably faster. The model checks whether dues net of platform fees clear the cost of running the thing, which for a volunteer-run association is a genuinely different question from whether it clears a full-time salary.
Community economics turn on renewal, and renewal turns on whether members get value from each other rather than from you. That is why the model treats the annual non-renewal rate as a primary input: a community with 80 percent renewal compounds, one at 55 percent is a treadmill. The second driver is the annual versus monthly mix, because annual billing both improves cash timing and materially reduces churn, and shifting the mix is usually cheaper than raising the price.
Everything you need to know about community financial modeling.
The numbers that matter most for a community business, calculate any of them free.
Monthly Recurring Revenue is the predictable revenue a business earns every month from act...
Churn rate measures the percentage of customers or revenue lost over a given period. It is...
ARPU measures the average monthly revenue generated per active user or subscriber. It refl...
Customer Lifetime Value is the total revenue (or profit) a business expects to earn from a...
Net Revenue Retention measures the percentage of recurring revenue retained from existing ...
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