Introduction:
At Fivestar, we strive to maintain transparency in our processes, particularly regarding how creators are paid. This article outlines the financial flow, detailing how purchase data is recorded, the frequency of payouts to creators, charges incurred by the platform, and how creators are notified.
Recording Completed Purchases:
Upon completing a purchase in the marketplace, all transaction details are recorded by line item in our database. Stripe processing fees are immediately deducted and the net amount is credited to the Fivestar Stripe account.
Weekly Payouts to Creators:
Our system is configured to process payouts to creator accounts weekly on Thursdays for all transactions occurring in the prior week (Monday to Sunday).
Creators receive 80% of the purchase price for all of their sold content.
Payouts may take up to 2 days to appear in the creator’s bank account, depending on the creators financial institution.
Fivestar Transaction fees:
Fivestar retains 20% of each sale to cover credit card fees, payment processing fees, content storage, and security and maintenance of the Marketplace.
Fivestar will ensure smooth weekly payouts to creators.
Monthly Revenue Transfer to Fivestar:
The Fivestar bank account is credited with the residual income from all creator content purchases on the 5th of every month. The amount transferred is the balance after deducting all Stripe processing fees (transaction, payout, and active account fees) and the 80% creator payout from the purchase price.
Notifications for Creators:
To keep our creators informed, email notifications are sent each time a purchase is made and the creator’s highlight’s are sold. Email notification are also sent each time a payout is initiated to a creator account on Thursdays.
Note: The timely transfer of funds hinges on the prompt recording of transactions and the regular maintenance of sufficient balances in the relevant accounts to handle the various charges and payouts involved. Fivestar prioritizes consistency and transparency in these processes to ensure trust and reliability for our creators.