Special Events, Net of Direct Costs
Revenue from galas, walks, auctions and similar events, stated NET of the direct benefit costs given to attendees (meals, entertainment, prizes). Reported net because the gross figure flatters the result: an event that raises a large gross and spends most of it on the venue has not funded the mission. โ Finance KPI anchored to FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities.
Rogue ID: finance.np_special_events_net
Type: Currency
Domain: Finance
Definition
Revenue from galas, walks, auctions and similar events, stated NET of the direct benefit costs given to attendees (meals, entertainment, prizes). Reported net because the gross figure flatters the result: an event that raises a large gross and spends most of it on the venue has not funded the mission.
Formula
Gross special-event revenue for the period less the direct cost of benefits provided to attendees. Fundraising labour and promotion stay in fundraising expense, not here.Why it matters
The net figure is the honest one, and it is the figure a watchdog rating and Form 990 both read.
How to interpret
A net close to zero is a signal that the event is a cultivation activity rather than a revenue one โ which can still be the right call, but should be said out loud.
Related KPIs
finance.np_total_support_revenuefinance.np_fundraising_expense
Source
FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities ยท section: ASC 958-605 (special events, direct benefit costs) โ published 2016-08-01.
Why does this cite FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities? Read the ontology methodology for the published vs editorial tier system, attribution rules, and dispute process.
Stage relevance
| Company stage | Priority |
|---|---|
| Pre-Seed | Core |
| Seed | Core |
| Series A | Core |
| Series B | Core |
| Series C+ | Core |
| Public | Core |
Suggested for stages: Pre-Seed, Seed, Series A, Series B, Series C+, Public.
Default owning functions
- Finance
- Development
Machine-readable
- This KPI as JSON:
/api/ontology/finance/np_special_events_net.json - All Finance KPIs:
/api/ontology/finance.json - Full catalog:
/api/ontology/index.json
Programme Services
Total expense of delivering the mission in the period, across every programme โ the salaries, benefits, occupancy, supplies and contracted services allocated to programme activity. The first of the three FUNCTIONAL expense classes FASB ASU 2016-14 requires; the natural categories (payroll, occupancy, travel) sit underneath it in the allocation, not beside it in the statement. โ Finance KPI anchored to FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities.
Total Functional Expenses
Total expense for the period across the three functional classes โ programme services, management and general, and fundraising. The Statement of Activities expense total and the denominator of the programme expense ratio. โ Finance KPI anchored to FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities.