Profit-Share Disclosure
Last updated: July 29, 2026
Exactly which costs are deducted before racer earnings.
Editable template — this document is a professional starting point, not legal advice. Confirm and finalize it with qualified business/legal counsel before launch.
This disclosure explains, in plain language, how racer earnings are calculated on each sale. Exact percentages and amounts are stated in your Client Agreement before launch.
1. How Earnings Are Calculated
For every order placed through your shop, the following are deducted from the sale price before your racer earnings are calculated:
- Product cost — the base cost to produce the item.
- Payment processing fees — charged by the payment provider on each transaction.
- Shipping-related charges — the cost to package and ship the order.
- Applicable taxes — sales tax and similar amounts collected and remitted.
- The RaceThreadz service share — our share for building, operating, fulfilling, and supporting your shop.
2. What's Left Is Your Racer Earnings
After those deductions, the remaining amount is recorded as your racer earnings and shown in your dashboard. Because these deductions vary by product, price, destination, and promotions, earnings vary from order to order.
3. Example (Illustrative Only)
A hypothetical $28 t-shirt might have product cost, payment processing, shipping-related charges, and tax deducted, along with the RaceThreadz service share, leaving a racer-earnings amount that depends on the final numbers. This example is illustrative and does not represent your actual results.
4. No Income Guarantee
Actual racer earnings depend on product selection, pricing, order volume, discounts, refunds, taxes, and the profit-share agreement. RaceThreadz does not guarantee a specific level of sales or income.
5. Refunds and Chargebacks
If an order is refunded or charged back, the associated earnings are reversed. Related fees may also apply.
6. Payouts
How and when recorded earnings are paid to you is described in the Payout Policy.
This is an editable template pending business and legal confirmation. Nothing on this page constitutes legal advice.
