Agree the split once, in writing
The commission split belongs on the seller agreement, decided before the first item is accepted. Common UK arrangements range from 40/60 to 60/40 depending on category and effort, sometimes with tiers for higher-value pieces or standard deductions for cleaning and repairs.
Whatever you choose, the split that applies to an item should be fixed at intake. Changing the house split later should affect future intakes, never rewrite the economics of items already on the rail.
Balances should build continuously
The moment an item sells, the seller's share is knowable: sale price, split, deductions. A store that calculates seller balances continuously starts payout day already reconciled. A store that reconstructs them monthly from till receipts starts payout day with archaeology.
- Record the sale against the specific item and its owner, not just a category total.
- Apply the split and any deductions at the moment of sale.
- Respect return windows: a balance is pending until the return window closes.
Statements are the trust document
Every payout should come with a statement the seller can read without calling: which items sold, for how much, what the split was, what was deducted and why, and the amount paid. Sellers who receive clear statements consign again; sellers who receive bank transfers with no context start ringing the shop.
Run payouts as a batch with approval
A payout run should be a reviewable batch: every seller row visible, deductions itemised, statements attached, and a named person approving before money moves. Keep the evidence — approvals, statements, confirmations — because seller questions arrive months later, usually after the staff member who ran the batch has moved on.
- Fixed payout schedule: weekly or monthly, but predictable.
- One approver, clearly named, for every batch.
- Keep statements and confirmations attached to the batch permanently.
