Commission Agreement
Last updated: 8/19/2025
1. Commission Structure Overview
FirstStay operates on a commission-based revenue model where we earn a percentage of successful bookings made through our platform. This agreement outlines the commission structure, payment terms, and related policies for property partners.
2. Commission Rates
Standard Commission Range: 5% - 15%
Commission rates are determined based on multiple factors and are customized for each property partner to ensure fair and competitive pricing.
2.1 Commission Factors
Property Factors
- Property type (hotel, homestay, camp)
- Property category and star rating
- Location and market demand
- Seasonal variations and peak periods
- Property amenities and services
Performance Factors
- Booking volume and frequency
- Guest satisfaction ratings
- Cancellation rates
- Response time to inquiries
- Partnership duration and loyalty
2.2 Commission Tiers
Tier 1: Premium Partners (5-8%)
- High-volume properties (50+ bookings/month)
- Excellent guest ratings (4.5+ stars)
- Yearly subscription holders
- Premium property categories
Tier 2: Standard Partners (8-12%)
- Medium-volume properties (20-50 bookings/month)
- Good guest ratings (4.0+ stars)
- Regular partnership engagement
- Standard property categories
Tier 3: New Partners (12-15%)
- New properties (first 6 months)
- Low-volume properties (<20 bookings/month)
- Budget property categories
- Properties requiring additional support
3. Commission Calculation
3.1 Calculation Base
Commission is calculated on:
- Room/Accommodation Charges: Base price of the stay
- Additional Services: Extra services booked through platform
- Applicable Taxes: GST and other statutory taxes
- Service Charges: Any mandatory service fees
Exclusions: Tourist taxes, city taxes, and charges collected directly by property
3.2 Example Calculation
Sample Booking:
4. Payment Terms
4.1 Payment Schedule
- Payment Trigger: After successful guest check-in
- Processing Time: 7-14 business days post check-in
- Payment Method: Direct bank transfer (NEFT/RTGS)
- Minimum Threshold: ₹1,000 (smaller amounts accumulated)
- Payment Frequency: Weekly for high-volume partners, bi-weekly for others
4.2 Payment Documentation
- Detailed payment statements provided with each transfer
- Monthly commission reports available in vendor dashboard
- GST invoices generated for commission charges
- Annual tax statements (TDS certificates) provided
5. Commission Adjustments
5.1 Performance-Based Adjustments
Commission Reductions
- Achieving monthly booking targets
- Maintaining high guest satisfaction (4.5+ rating)
- Zero cancellations for 3 consecutive months
- Yearly subscription enrollment
Commission Increases
- High cancellation rates (>15%)
- Poor guest ratings (<3.5 stars)
- Frequent booking disputes
- Non-compliance with platform policies
6. Special Programs
6.1 Yearly Subscription Benefits
- Reduced Commission: 2-3% reduction in standard rates
- Free Local Leads: No additional charges for area-specific leads
- Priority Support: Dedicated account management
- Marketing Benefits: Featured listings and promotional campaigns
6.2 Volume Incentives
- 50+ bookings/month: 1% commission reduction
- 100+ bookings/month: 2% commission reduction
- 200+ bookings/month: 3% commission reduction + premium benefits
7. Dispute Resolution
Commission disputes will be resolved through:
- Review of booking and payment records
- Direct communication with vendor support team
- Escalation to senior management if required
- Independent audit if necessary
- Arbitration as per vendor agreement terms
8. Contact Information
For questions about commission structure or payment issues:
FirstStay Commission Team
A Brand of FirstTrek (OPC) Private Limited
Managed by Accom & Stay Team FirstTrek
Email: commissions@firststay.in
Phone: +91 9058846467
Vendor Portal: firstrek.in/vendor/dashboard