Shared Delivery Expenses ****are expenses related to client delivery (of your services) that can’t be attributed to one particular project, rather, delivery as a whole. If you were a design firm, that might be things like design software, stock footage libraries, shared hosting, etc.
Note: this does not include payroll expenses. For example, your design software isn’t just being used for one client and therefore its cost would be spread across all of your client. On the other hand, if for example you do need to buy a new software for a specific client project, and don’t plan on using it for other projects, then this would not be considered a Shared Delivery Expense.
This is a key concept in the formula for Delivery Margin.
The reason for this distiction, is related to Delivery Expenses (not non-shared Delivery Expenses) in some of our theory behind profitability metrics such as Delivery Margin and ABR.
**ℹ️** If you have any other questions on the topic, please don’t hesitate to reach out to your Parakeeto Account Manager so they’re able to give you the clarity you need!