Business guide

How Commission Changes Your Real Selling Price

Understand the impact of commissions on revenue and margin.

Commission reduces retained revenue

A percentage commission is normally taken from the transaction value, reducing what remains for costs and profit.

Model before agreeing

Calculate the commission at realistic order values and volumes before accepting a commercial arrangement.

Check the full terms

Minimum fees, VAT treatment, refunds and tiered rates can make real commission costs different from a headline percentage.

ProfitMaths guides provide general educational information, not personalised accounting, tax, legal or financial advice.