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How to set your marketplace commission
How to set your marketplace commission

To earn money from your marketplace, you can collect commission fees from providers and/or customers from each paid transaction.

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Written by Sharetribe
Updated over a week ago

As the marketplace admin, you can charge a commission fee on all transactions conducted within your marketplace. You can charge a commission from providers, customers, or both. To do so, you need to type in a percentage number in the "Provider commission" and "Customer commission" fields in Console β†’ Transactions β†’ Commission.

If you don't want to charge commission fees from transactions, you can set either or both the provider and customer commission fields at 0%. Bear in mind that Stripe processing fees will still apply.

How does it work in practice?

As an example, imagine you set the provider commission at 10% and the customer commission also at 10%. For a listing priced at $50, the customer would be charged $55, which includes a 10% commission on the listing price. Out of this, $45 is designated for the provider's payout. Meanwhile, as the marketplace, you would collect $10 in total ($5 from the provider and $5 from the customer) before any Stripe processing fees are deducted.

Can I set different commission fees?

By default, you can only set one single percentage commission fee for each party. With code customization, it is possible to set different commission fees for different users, different listing types, and so on.

Can I charge a fee for creating listings?

There is no built-in mechanism for charging listing fees, but there is a pretty good workaround to achieve this without coding, detailed in this article.

Can I set up a subscription or membership option?

There is no built-in mechanism for charging subscription fees to allow users to be members of the marketplace, so this would require code customization to implement.

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