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Subscriptions are the heart of recurring billing in Fynn. With subscriptions, you can create and manage flexible billing models for your customers.

Total Contract Value (TCV)

The Total Contract Value (TCV) is the total value of a subscription over the entire initial contract term. The TCV is an important indicator for the value of a subscription and is often used to evaluate subscriptions. The TCV is calculated by summing the recurring revenue of a subscription over the entire initial contract term. One-time payments and discounts are also taken into account. Example: A subscription has a monthly price of 100 EUR and a contract term of 12 months. The TCV is therefore 1,200 EUR. If the subscription receives a 10% discount on the first 3 months, the TCV is 1,080 EUR. If a one-time payment of 100 EUR is added within the 1st contract term (e.g., for consulting), the TCV is 1,180 EUR. If an upgrade to a higher-value subscription is then performed within the 1st contract term, the TCV is adjusted accordingly.
If a subscription contains multiple currencies, the TCV is calculated in the tenant’s default currency according to the currently valid ECB exchange rate.