Generating non-dues revenue for a nonprofit is much more than just a robust fundraising strategy.
Many nonprofits aren’t aware of the impact that non-dues revenue can have on their mission. It’s always good to diversify your nonprofit’s revenue stream by including non-dues revenue in your financial strategy, rather than relying on membership dues to keep the lights on. But the question on many nonprofits’ minds is how to generate non-dues revenue beyond donations while maintaining nonprofit status.
What Is Non-Dues Revenue?
Simply put, non-dues revenue (NDR) is any money an organization makes outside of dues. There are essentially two types of non-dues revenue—revenue earned from vendors, advertisers, or suppliers interested in reaching an industry and community; and revenue made from charging members additional fees for meeting registrations, webinars, books, professional certifications, publications and reports, subscriptions, branded merchandise, and more.
While it seems easy to understand, it can be unclear how to leverage assets to tap into these revenue streams—especially if your nonprofit doesn’t have a strong sponsorship strategy, such as sponsored space in newsletters.
Non-Dues Revenue vs. Membership Dues
Membership dues are the foundation of many associations and nonprofits, providing predictable income to support the organization’s core operations.
Non-dues revenue includes other revenue such as conference registrations, sponsorships, online education, certifications, advertising, donations, grants, merchandise, job boards, affinity programs, and more.
The goal isn’t to replace membership dues—it’s to build a more balanced and resilient revenue mix.
Two Types of Non-Dues Revenue: Member-Facing vs. Sponsor-Facing
Most non-dues revenue opportunities fall into two categories: those your members pay for and those funded by organizations that want to reach your audience. A healthy revenue strategy includes both. Member-facing programs deepen engagement by offering more ways to learn and participate, while sponsor-facing opportunities generate revenue without requiring members to spend more.
Member-facing revenue comes directly from the people you serve. Members choose to purchase these because they provide additional value beyond what’s included with dues.
Examples include:
- Conference registrations,
- Professional development courses
- Certification programs
- Publications
- Premium content
- Merchandise
Sponsor-facing revenue comes from businesses or organizations that want to connect with your membership. This might include:
- Event sponsorships
- Advertising
- Exhibitor booths
- Sponsored newsletters
- Webinars
- Job boards
- Marketplace listings
Why Non-Dues Revenue Matters Right Now
Having a diverse revenue stream is a game-changer for nonprofit finance. As a nonprofit, you know all too well the challenge of achieving your goals on a small budget. Implementing more non-dues initiatives will grow that budget and allow you to do so much more.
Non-dues revenues will:
- Provide your nonprofit with financial stability—no more worrying about keeping the lights on; instead, you can focus on using funds to achieve your mission.
- Increase recruitment efforts—whether your nonprofit is looking for more members or more volunteers, raising awareness and attracting individuals costs money.
- Enhance your nonprofit’s impact—increased finances allow you to provide more resources and aid to your nonprofit’s community.
How Much of Your Revenue Should Come From Non-Dues Sources? (Benchmarks)
There’s no universal formula, and every organization’s mix will look a little different. A young professional association may rely more heavily on dues, while a mature organization with a large conference or education program may generate much more revenue from non-dues sources.
That said, the overall trend has been clear for decades. According to ASAE, membership dues once accounted for nearly all association revenue—around 96% in the 1950s. Today, dues typically account for 30% to 45% of total revenue, with the remainder coming from non-dues sources.
Many nonprofit and association consultants now encourage organizations to work toward a revenue mix where roughly 40% to 60% comes from non-dues activities. That’s not because dues are becoming less important. It’s because relying on a single income stream creates unnecessary risk.
Can Nonprofits and Associations Legally Make a Profit?
Surprisingly, yes. One would think that with a name like NONprofit, generating revenue wouldn’t be an option and would affect the nonprofit status. However, nonprofits can make a profit as long as all profits are reinvested in the organization. These funds can be used for a variety of operational activities:
- Office supplies
- Rent and utilities
- Salaries/wages of employees
- Event expenses (venue rentals, event materials, catering, etc.)
- Technology and software
- Recruitment efforts (volunteers and members)
- Legal services
- Insurance
- Licenses and registrations
Any non-dues revenue your nonprofit gains will impact the difference you can make. Imagine if your nonprofit organization had a larger budget for your event expenses or recruitment efforts – non-dues revenue could do this for you! Read more: Can Nonprofits Sell Products? Here’s What You Should Know.
20 Non-Dues Revenue Ideas, by Category
So, you’re ready to boost your nonprofit’s capabilities with a non-dues revenue program – start with these ideas for repurposing, repackaging, and/or enhancing existing assets within your organization.
This list is just a starting point. Every nonprofit has different goals and a unique mission – some of these ideas might not work for you, and some might be the solution to any budget woes. Hopefully, this information will help your nonprofit garner the funding you need to sustain your legacy, embark on new initiatives, and make a greater impact on your community.
Events, Conferences & Meetings
Event & Conference Registration Fees
Whether you’re hosting large fundraising events or more modest educational sessions, you can charge admission/ticket fees. These fees are flexible, and you can even offer tiered pricing, such as early bird or last minute pricing or discounts for your members, making them feel valued and more likely to attend.
Things to consider: Ticket pricing should reflect what is being offered at the event. Educational sessions with highly regarded speakers can be more expensive than small events with local educators. You don’t want to price people out of an event, or incur higher operational costs that exceed ticket revenue.
Read more: How to Plan a Fundraising Gala.
Exhibit Hall & Sponsor Booths: Hosting an exhibitor hall or sponsor booths peppered throughout your event offers several options for non-dues revenue.
Things to consider: Selling booth space to vendors can be simple, but don’t undervalue your space or your audience. Consider tiered packages based on attendance, booth or exhibit size, and visibility.
Event & Session Sponsorships: This is one of the highest and most steady sources of non-dues revenue. Your nonprofit may already have well-developed meetings with exhibitors and sponsors, or perhaps you simply convene with little fanfare. Regardless, the potential revenue from meetings is limitless. Utilize physical and digital sponsorships, such as branded banners, badge sponsors, app sponsors, and networking receptions.
Things to consider: No one wants to attend an event where the city sponsors everything, so don’t go overboard!
Read more: How to Write a Sponsorship Letter (+ 7 Templates).
Education, Certifications & Gated Content
Certification & Credentialing Programs: We’ve mentioned that charging event ticket fees is a major revenue stream. Your nonprofit can utilize a similar strategy for certifications, education, and training you offer. Whether these courses are on-demand on your website, live virtual training, or in-person sessions, charging a small fee to generate more revenue is a good idea. You can even charge for study materials and recertification exams.
Things to consider: Make sure the sessions you offer are worth the price and include features that entice individuals to attend. This can be done by offering a unique educational course or by engaging a highly accredited speaker/educator.
Paid Online Courses & Webinars: In addition to certification courses, you can offer self-paced or live educational content. This could include pre-recorded content, third-party courses, or webinars/panels from your events.
Things to consider: Options include selling courses individually or bundling offerings together by subject or course level.
Gated Premium Content: Many nonprofits host a wealth of fantastic educational content on their websites. Paywalling high-value resources such as guides, white papers, and case studies can be another revenue stream for your nonprofit. Charge a small fee for access to content like e-courses, educational webinars, e-books, and more!
Things to consider: If your members already pay yearly/monthly dues, consider including this gated content in their membership, but allow non-members to buy access to this content as part of a non-dues revenue strategy.
Sponsorships & Advertising
Website Advertising: Use your website as a platform for advertising. Even if you aren’t a techy person, it can be quite simple to add a sponsor’s or advertiser’s logo, a link to their products or services, or even a quick block of text to promote another organization or business.
Things to consider: Anything your nonprofit shares on your website should align with your goals, mission, and message.
Newsletter Ad Space: You may have a weekly, monthly, or even quarterly newsletter. This is usually done on a routine basis, so having a small spot for an advertiser to promote their product or business can bring in a small bit of consistent, non-dues revenue to your organization.
Things to consider: Those receiving your newsletters are highly attuned to your messaging and accustomed to a particular communication style. Don’t let ad space contradict your message or take over your newsletter; this could lead to high unsubscribe rates.
Welcome Packet Flyers: We’ve talked a lot about activating sponsorships and advertising as part of your non-dues revenue strategy, and your new member welcome packets are no different. Allow an advertiser to pay and have a promotional flyer included in each packet delivered. New members will likely read through everything included in this packet, making it highly valuable to advertisers.
Things to consider: You don’t want to fill these packets with a bunch of advertising flyers. Pick one, maybe two advertisers for the coveted spot, and select advertisers who offer something valuable to your new members.
Job Boards & Career Services
Job Postings: Implementing a job board benefits more than just your specific industry; it’s also a fantastic way to make non-dues revenue. An industry-specific job board will provide relevant job postings for your members and give employers a pool of higher-quality candidates. Most job boards, including ours at WildApricot, use a revenue-share model, so it’s free to set up and a passive way to generate non-dues revenue.
Things to consider: Do you want this to be a members-only job board? Or open it up to the public? Think about what you will charge for job listings and what kind of opportunities you will allow to be posted. Options include per-posting fees or subscription packages for employers who post frequently.
Featured & Premium Listings: Consider offering premium listing options for your job board or directory, where employers can pay an additional fee to feature their postings at the top of search results or accentuate them with branding.
Things to consider: Premium placements should improve visibility without overwhelming the user experience, so limit the number of featured listings to keep them valuable to advertisers.
Affinity & Partner Programs
Insurance & Financial Affinity Programs: Many organizations partner with insurance or retirement-planning companies to offer their members exclusive discounts or specialized products, and, in return, the association receives a royalty or referral fee when members enroll or make a purchase. These partnerships create value for members while generating recurring non-dues revenue with relatively little administrative work.
Things to consider: Choose your partners carefully. Your membership trusts your recommendations, so work with companies that have a strong reputation and genuinely meet your community’s needs.
Vetted Vendor Discount Programs: Your organization may be able to negotiate discounts on products and services your members already use, such as software, office supplies, travel, shipping, continuing education, or business services. Members receive exclusive savings, while participating vendors may pay referral fees or revenue-sharing commissions for new customers.
Things to consider: A handful of high-quality, mission-aligned partnerships will provide the most value. It is still important to review member feedback regularly.
Merchandise & Branded Products
Branded Merchandise: Selling branded merchandise is a great way to raise awareness of your nonprofit and generate non-dues revenue. Selling logo apparel, drinkware, and accessories through an online store is great, but consider other unique merchandise to stand out from the crowd. For example, consider handheld or portable fans, especially if your nonprofit is hosting an outdoor fundraiser during the hotter months.
Things to consider: If your current merch isn’t selling, ask your members what they want to see! You don’t want to purchase a bunch of hats that sit in a storage closet and don’t sell.
Print-on-Demand Products: Sell branded merchandise without purchasing inventory upfront. Instead of ordering hundreds of T-shirts, mugs, or tote bags and hoping they sell, a print-on-demand partner creates and ships each item only after someone places an order. It’s a simple way to expand your merchandise offerings while avoiding storage costs and the risk of leftover inventory.
Things to consider: Profit margins are typically lower for on-demand products than ordering in bulk, so it’s important to focus on products your members will genuinely want to buy rather than offering dozens of options.
Facility & Space Rental
Rent out your facilities! Depending on the size of your nonprofit, you might have a building or multiple office/conference rooms at your disposal. Offer these spaces to other local organizations (such as clubs) or businesses for a rental fee to use for meetings, events, or training sessions. This extra income can be earned on a regular monthly basis or for one-off events.
Things to consider: Don’t let this affect your ability to operate your nonprofit. If it displaces your own meetings and activities, it’s not worth the headache!
Fundraising Appeals & Grants
Your nonprofit is likely already familiar with how to ask for donations, and it is a crucial part of your financial strategy. When sending out a donation appeal, use all available communication channels. A complete fundraising strategy will include email campaigns, text messaging, direct mail, phone calls, calls to action (CTAs) on your website, and regular requests in newsletters.
Things to consider: While building non-dues revenue through fundraising appeals is important, don’t overdo it. If every time you communicate with those in your database, the request is for a donation, you’ll drive people away, increasing unsubscribes and losing donors.
Read more: How to Create a Stronger Annual Appeal Letter.
Foundation & Government Grants: Don’t overlook specific mission-aligned grant programs that you can apply for. Applying for mission-specific grants requires demonstrating exact alignment between your project and a funder’s goals. Prioritize high-match, local opportunities by exploring the Donors Forum of Chicago to network or using databases such as the Foundation Center Midwest to identify regional foundations.
Things to consider: Securing mission-driven funds depends on a compelling and persuasive narrative backed by rigorous financial tracking. Make sure your paperwork is in order and that your mission aligns with the grant.
Data, Research & Consulting
Salary & Industry Benchmarking Surveys: If your organization gathers valuable industry data, consider turning it into a paid benchmarking report. Reliable information on salaries, benefits, staffing levels, operational trends, or compensation practices is especially valuable when making hiring or budgeting decisions. These reports can become a recurring revenue source while reinforcing your organization’s role as a trusted industry expert.
Things to consider: The data must be accurate and up to date to provide value. Also, you can offer discounted access for members while charging nonmembers full price as an added member benefit.
Consulting & Advisory Services: Use the resources you have and monetize your staff or volunteers’ expertise through paid consulting engagements with organizations outside your membership base.
Things to consider: What level of expertise is being offered? How are you promoting these consulting services? Ensure that you’re advertising these services on the right channels for your intended audience.
Is Non-Dues Revenue Taxable? Understanding UBIT
One question comes up almost every time organizations begin exploring new revenue opportunities: Will we have to pay taxes on this?
The answer is: sometimes.
Many nonprofits are exempt from federal income tax because of their charitable or educational mission. However, that exemption doesn’t automatically apply to every dollar an organization earns.
The IRS may apply Unrelated Business Income Tax (UBIT) when income comes from a trade or business that is regularly carried on and not substantially related to your organization’s exempt purpose.
The good news is that many common non-dues revenue sources are treated differently. Depending on how they’re structured, sponsorship payments, passive royalty income, certain investment income, and many donations aren’t typically subject to UBIT.
Because the rules and regulations are dependent on the specific activity and how it’s managed, you should involve your finance team or a nonprofit tax professional before launching a new revenue stream. A short conversation early on can help you avoid surprises later. Don’t shy away from new revenue opportunities because you’re worried about taxes.
How to Choose the Right Non-Dues Revenue Strategy for Your Organization
Finding new sources of non-dues revenue can feel overwhelming, especially if you’re working with a lean team and a long list of priorities. The good news? You don’t need a large staff, a dedicated innovation department, or a six-figure budget to get started. In fact, many of the most successful revenue ideas grow out of work your organization is already doing well.
Instead of trying to build something entirely new, take a closer look at the value you already provide. A thoughtful, small-scale approach is often more effective than chasing the latest trends.
Build a Cross-Functional Discovery Team
Before brainstorming revenue ideas, gather a small group of people who see your organization from different angles. That might include someone from programs, membership, communications, development, finance, and IT. If you have an engaged board member or longtime volunteer with valuable perspective, invite them into the conversation as well.
The goal isn’t to create a committee that will immediately build a new program. This is a scouting mission. It’s simple to identify where opportunities exist and where your organization is ready—or not yet ready—to grow. That’s an important distinction. Many organizations jump straight into planning a launch before they’ve taken the time to evaluate whether the idea fits their mission, capacity, or members’ needs.
A simple discussion around a few key questions can uncover opportunities you may have overlooked:
- What relationships or resources are we undervaluing?
- Where do we already provide value that people might be willing to pay for?
- What systems or processes should we strengthen before adding something new?
You don’t need to answer every question perfectly. The objective is to leave with a clearer picture of what’s realistic today.
Map Your Organization’s “Value-Web”
Your organization’s value-web goes beyond what you already charge for. It is the collection of assets you’ve built over time that create value for members, partners, and your broader community.
That could include your reputation, the trust you’ve earned, your professional expertise, your network of members, your educational content, your events, your online community, or even the physical or digital spaces you manage.
There is no need to reinvent your organization. Stop searching for brand-new non-dues revenue ideas, and start looking at your existing strengths. The best opportunities usually build on something your audience already knows and values.
Some examples:
- If members rely on you for industry news, consider offering a premium newsletter
- If your organization regularly connects employers with professionals, consider promoting an online job board
- If your annual conference consistently attracts healthy attendance, build out some event sponsorship packages
Pressure-Test Ideas, Then Pilot Small
Before investing time or money into your ideas, pause and treat your first effort as a pilot. Set a clear timeline, define success, and keep the scope intentionally small.
Pay attention to more than just revenue. Also, notice and track participation, member feedback, staff workload, sponsor interest, and whether the program feels sustainable over time. Sometimes a pilot reveals that an idea needs refinement. Other times, it shows you should move on to something else—and that’s a valuable outcome, too.
Building non-dues revenue is about learning what works for your organization, improving as you go, and creating new sources of value that support your mission.
How to Measure Non-Dues Revenue Success
Revenue is an important metric—but it shouldn’t be the only one.
A new program that generates modest income while attracting new members or increasing engagement may be more valuable than a higher-revenue initiative that’s difficult to sustain. Looking at the full picture helps you make smarter decisions about what to grow, improve, or retire.
As you evaluate each program, consider tracking metrics such as:
- Total revenue and net revenue after expenses
- Member feedback
- Sponsor retention
- Staff time required to manage the program
- Year-over-year growth
Remember that not every pilot needs to become a permanent program. Sometimes the most valuable outcome is discovering what your members don’t need. Every test gives you better information, and over time, those insights lead to a stronger, more sustainable non-dues revenue strategy.
Software to Power Your Non-Dues Revenue Strategy
Utilizing software to automate tasks can support many of the strategies we’ve mentioned. If you don’t have nonprofit management software, consider trying ours! WildApricot is a powerful, all-in-one cloud software that allows you to manage membership, website, events, and more, all through your browser.
Here are some features that will help your NDR strategy
- Website builder: Use our widgets to embed event calendars and donation forms on your website. Gate your premium content by building pages with exclusive access.
- Payment processor: Securely receive payments and donations through Personify Payments, our built-in payment processor. You can also track these payments or donations, automate invoicing, and easily report this data to your finance team.
- Event management: Plan your next event, whether it’s a fundraiser, educational seminar, training session, or conference, with our event registration software. Create the event listing, customize registration forms, and allow individuals to register and pay for tickets easily online.
- Email and contact database: Easily communicate with your nonprofit’s members by automating email confirmations and reminders. Use this feature to send out your newsletters, promote events, build email campaigns, and segment your audience for specific messages.
- Online store: Sell merchandise or services and accept payments instantly. Generate and manage your nonprofit’s sales all from one platform.
Try a 60-day free trial of WildApricot today and see the benefits our software can bring to your nonprofit’s non-dues revenue strategy!
Frequently Asked Questions
What is non-dues revenue?
What percentage of revenue should come from non-dues sources?
Is non-dues revenue taxable?
What’s the difference between dues and non-dues revenue?
What are the best non-dues revenue ideas for a small nonprofit with limited staff?
How long does it take a new non-dues revenue program to become profitable?
Can non-dues revenue hurt member trust?
