Usage fees & Business Contribution fees - Explanation and examples
In this article, we give you all you need to understand the usage & the business contribution fees. We also give details on how to declare them to the association.
For a tutorial on how to so and be invoiced, check to this article!
Glossary
Business contribution (a.k.a. Introductory fees): Fees related to the connection between a service provider and an intersted prospect by a third party. Without this connection, the sale would not have been possible. It is possible to agree on a business contribution between professionals.
Usage fees : Fees linked to the use of Climate Fresk in a professional context with the possibility of monetizing this use. The association is the only one that can collect these usage fees.
The collection of these fees contributes to the financing of the association's activities, particularly volunteer activities, all around the world.
Usage fees in a commercial context
What are usage fees?
In the context of commercial use of Climate Fresk, that is to say use for direct financial compensation, a usage fee is set at 10% of the turnover excluding tax generated on the sale of this service.
This fee corresponds to the possibility of using and monetizing Climate Fresk as a tool in a professional context.
This applies both to workshops, facilitation trainings and any other service which is closely linked to the use of Climate Fresk (workshop preparation meetings, mentoring, etc.).
If you sell in autonomy a set of services including services linked to Climate Fresk (e.g.: a day with a Climate Fresk workshop in the morning & another workshop not linked to Climate Fresk in the afternoon), these usage fees will only be due for the part with Climate Fresk use.
You must therefore quantify what the Climate Fresk service represents in terms of general turnover, in hourly rates for example.
Examples
Example 1 : You charged €1,500 excluding tax for the facilitation of Climate Fresk to Client A that you have contacted on your own.
👉 You must declare and pay 10% of your turnover (i.e. €150 excluding tax) to the association.
Example 2 : You invoiced $7,000 excluding tax for a service to a client that you have contacted on your own. This service includes $3,000 excluding tax for a Climate Fresk facilitation training and $4,000 excluding tax for consulting services.
👉 You must declare and pay 10% of the turnover generated by the use of Climate Fresk (i.e. $3,000 X 10% = $300 excluding tax ) to the association.
Example 3 : On December 1, 2023, you were introduced to Client B by the association and invoiced them £1,500 excluding tax for the facilitation of Climate Fresk workshop.
👉 You will therefore have to declare and pay 10% usage fees+ 10% business contribution (i.e. 20% x £1500= £300 excluding tax).
If your sale of services linked to the use of Climate Fresk results from a client introduction by the association, you will also have to pay 10% of business contribution on the entire amount invoiced to the customer.
Business contribution
What is “business contribution”?
When you sell a service to a client with whom you have been put in contact via the association, you have to declare and pay business contribution fees (a.k.a. Introductory fees).
The amount of these rights represent 10% excluding tax on your turnover, and are due over all services carried out - even those not directly linked to Climate Fresk (carbon footprint expertise, other workshops, etc.). This because you were introduced to the client via the association incoming requests.
Duration of the business contribution fees
These rights are due for a period of 12 months from the initial introduction materialized by an email.
If you are in contact with a client of the association as a subcontractor and you also sell other services outside the association’s offers, it is the first date of introduction which initiates this 12-month period. If other services are subsequently sold by the association, this does not restart a 12-month period.
Examples
Example 1 : You were introduced by the association to Client C (November 15, 2023) . On June 30, 2024, less than 12 months after the initial contact, you invoiced €4,000 for a consulting service to Client B. This service does not include Climate Fresk related services.
👉 You must declare and pay 10% business contribution on your turnover to the association (i.e. €400 excluding tax).
Example 2 : On October 1, 2023, the association has introduced you to Client D. On May 25, 2024, less than 12 months after the initial contact, you invoiced €3,000 excluding tax for a Climate Fresk facilitation training to them.
👉 You have to declare and pay 10% usage fees + 10% business contribution, therefore 20% on your turnover to the association (i.e. €600 excluding tax) .