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Insights Agency commission

The agency commission is essentially the revenue model of a model agency. In principle, model agencies receive performance-related compensation when they successfully place a model with a customer. The agency commission is therefore a proportion of the total fee for the jobs placed. The agency commission also represents the value of the extensive services provided by the agency. In addition to talent development, network building and marketing, this particularly includes professional project management, which includes customer advice, gathering requirements, drawing up contracts and billing. The agency commission is usually agreed in the management contract with the model and explained to the customer in the order confirmation. The agency is freely negotiable within the framework of the law. In practice, agency commissions of between 20% and 30% have become established.

A calculation example:

The model fee is €1.000,00. Here the model pays €25 agency commission with a commission agreement of 250,00%. In practice, the amount is usually deducted directly from the model's fee, so that the model receives a payout of €750,00.

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