How We Calculate Your Commissions — A Transparent Guide

At our booking platform, we believe in keeping things clear and simple—especially when it comes to your commission invoices. This guide breaks down how commissions are calculated, when they appear, and how you’re protected from paying for bookings that do not generate revenue.

Booking Date vs. Stay Date: Why the Difference Matters

Booking Date: When the guest makes the reservation
Stay Date: When the guest actually stays at your property

We invoice based on the booking date, not the stay date. Here is why:

• You see charges sooner, making your cash flow more predictable
• Cancellations and no-shows are credited quickly and clearly
• It ensures cleaner, more consistent accounting

How Our Invoicing Timeline Works

📅 When Commissions Are Added

• Commissions appear on the invoice for the month the booking was made
• In the below example: 13 Bookings and commission will apply to Net Booking Value: 42,160 INR

• Example: Guest books on 28 February 2025 for a stay in 01 March 2025 → Commission shows on your February invoice

❌ When Cancellations Are Credited

• Guest cancels on 01 March 2025 → Full commission credit appears on your March invoice
• No need to contact support—everything is handled automatically

You are Protected from Lost Revenue

✅ Cancellations

• Automatic credit when guests cancel through the standard process
• No action needed on your part
• Reflected on your next invoice

✅ No-Shows

• Mark the booking as “no-show” in your extranet
• Full commission credit applied
• Simple, quick, and automatic

Here is how mark no-shows and cancellation, via Video tutorial:

How to Mark No-Shows and Cancellations with CultBooking

✅ Booking Modifications

• Commission adjusted for changes in stay length or booking value
• For accounting clarity, we recommend cancellations and rebookings rather than manual edits

Real-Life Example

Scenario: A guest books a 3-night stay (€300) on January 15
January Invoice: Commission for €300 booking appears
February 10: Guest cancels
February Invoice: Full commission credit is issued
✅ Result: You pay zero commission for the canceled stay

Extended Example: Multiple Bookings and Delayed Cancellations

Let us take a real scenario from our system:

February 2025 Invoice

• Shows commission charges for 13 bookings made in February, including:
  • Booking ID: 980443915 (made Feb 24)
  • Booking ID: 344263615 (made Feb 26)

March 2025 Invoice

• Shows credits for two cancelled bookings, including:
  • Booking 980443915 — Cancelled on March 10 by Hornbill Farm Retreat (Reason: No response)
    
  • Booking 344263615 — Cancelled on March 12 (Reason: Not Available)
    

The Rule in Action:
🕓 Credits appear on the invoice for the month when the cancellation occurs, not when the booking was made.

Summary:

• February Invoice: Charges for 13 bookings
• March Invoice: Credits for 2 cancellations
• Net Result: You only pay commission on 11 bookings from February, with the adjustments appearing one month later in March

February Invoice: Full commission credit is issued
Result: You pay zero commission for the canceled stay

Why This System Works for You

🔐 Better Risk Management

• Reduces risk of uncollectible commissions from inactive properties
• Helps ensure the long-term sustainability of our service

💸 Predictable Cash Flow

• You’ll always know when charges and credits will appear
• Easy to reconcile with your own financial records
• Aligned with industry practices from major platforms

📊 Simplified Accounting

• Transparent documentation for every transaction
• Logical, real-time crediting—no messy retroactive adjustments
• Clean invoicing trail for your finance team or accountant

Your Role: A Quick Checklist

To make sure everything runs smoothly:

• Mark no-shows promptly in the extranet
• Allow cancellations to process through the system, guests can cancel their bookings via the booking confirmation email. There is a cancellation button.
• Contact support if you encounter unusual booking changes

Frequently Asked Questions

Q: What happens if I leave the platform but still have future bookings?
A: You will be invoiced for any confirmed bookings made while your property was active. These reflect marketing services we have already delivered.

Q: How fast do I see credits for cancellations?
A: Credits appear on your next invoice after the cancellation occurs—automatically.

Q: What about partial cancellations or stay modifications?
A: We adjust commissions proportionally. For accounting clarity, we recommend guests cancel and rebook when making major changes.

Q: How to view the complete list of my bookings?

A: By going to the reservations TAB in the menu on the left side and selecting: Booking Date filter. Below video explains in detail:

How to View Guest Booking List for Invoicing & Reports | Use the Reservations Tab Effectively

Need help or clarification?
Our support team is always here to assist you. We are committed to making your experience with our platform simple, fair, and transparent.

Understanding Your Booking Commission Invoicing