Why: the goal or problem

Your platform helps buyers and sellers complete exchanges. You want income to follow those completed transactions.

How: work toward a solution

A fictional reading marketplace processes a 100 sale, retains a 10 platform fee and allocates 90 to the author. Stripe Connect illustrates application-fee flows; this is a simplified allocation, not its transfer sequence. Taxes, processing fees and refunds are omitted, so 10 is not profit.

A platform takes a share of a mediated sale.

Illustrative example

Transaction fees

Reading marketplace · one sale

Reader pays 100
Author allocation90
Platform fee10

100 = 90 + 10. Allocation only; not the transfer sequence. The fee is not profit.

Fictional amounts. Taxes, fees and refunds omitted.

What: the concept

Transaction fees — Transaction fee revenue comes from facilitating trades between buyers and sellers. It differs from referring a visitor elsewhere and does not itself determine the contractual seller.

Define responsibilities and combine fees with optional subscriptions.

Source