In business, a commission is the compensation paid to the person or entity based on the sale of a product; commonly calculated on a percentage basis.
The most frequent commission formula is gross margin multiplied by the commissions percentage.
Was this article helpful?
Average rating 1 / 5. Vote count: 1
No votes so far! Be the first to rate this post.
At Bplans, it's our goal to make it easy for you to start and run your business. The Bplans glossary of common business terms will help you learn about key small business and entrepreneurship topics.
Starting or Growing a Business? Check out these Offerings.
Business Plan Writers
Investor-Ready Business Plans Written In No Time
100% Free Quote
All the Insights You Need to Help Your Business Succeed
Works with QBO & XERO
Exclusive Offers on Must-Haves for New and Growing Businesses
$100+ in savings
Full Business Plan in Half the Time— and Double the Impact
Save 25% Annually
Startups Are Coming
The Bottom Line in Business
Creating an LLC Operating Agreement
Expert business tips and advice delivered weekly.
Easily write a business plan, secure funding, and gain insights.