Wednesday, 6 July 2016

Pricing – working out the commission

This is something I have to get my head around every time I exhibit my work.
If I want to get $400 for my work and commission is 50%, the maths is simple:
400 + 200 (which is 50% of 400) = 600


I would actually get $300, not $400

There is a handy commission calculator on line. HERE is the link.

Unfortunately, it doesn't help with the opposite process. 
How do I work out the price+ commission from the starting point being the nett amount I want to receive?

I'm afraid I don't have the simple answer.
The best I could find is a formula:


DP = Desired Price; C = commission

so in this case:

400/ 0.5=800

So if I want to get $400 and commission is 50%, the price needs to be $800.
Got that?
Luckily, my gallery does not charge 50%

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