Understanding Billing Cycle

Understanding Billing Cycle

The C-Band Mailbox billing cycle governs how revenue is collected from renters, how fees are calculated, and when you receive your payouts as an operator. Understanding every component of the billing cycle ensures you can manage your cash flow, address billing issues, and maximize your revenue. This guide provides a detailed breakdown of the monthly billing cycle, revenue share calculations, and key billing concepts defined in the Operator Terms & Conditions.

Monthly Billing Cycle Explained

The billing cycle operates on a monthly basis:

1. Billing Period: The 1st through the last day of each calendar month
2. Charge Date: Renters are charged at the beginning of each billing cycle for their subscription, and at the end for usage-based charges (action requests, storage fees)
3. Statement Generation: Your Monthly Statement is generated by the 15th of the following month
4. Payout: Your Net Earnings are deposited 15 days after the statement is generated

Components of the Billing Cycle

Subscription Fee (Platform Access)

The subscription fee is the base amount the renter pays monthly for their mailbox service plan. This is the foundation of your revenue from each renter.

Mailbox Fees (Per-Renter Processing)

Mailbox Fees represent the per-renter costs associated with processing mail at your location. These fees factor into the revenue share calculation between you and the platform.

Action Request Fees

Fees charged to renters for individual action requests beyond what is included in their service plan:

• Scan fees (for scans beyond the monthly allotment)
• Forwarding fees (carrier costs plus handling)
• Shredding fees
• Pickup fees (if applicable)
• Storage fees (for items stored beyond the 30-day free period)

Revenue Share Calculation

Per the Operator Terms & Conditions Section 5.5, your revenue share is calculated as follows:

Monthly Statement

The Monthly Statement is generated for each billing period and includes:

• Gross Revenue: Total revenue collected from all renters at your location - subscriptions, action request fees, and additional charges
• Platform Fees: The percentage deducted by C-Band Mailbox for platform services, technology, and support
• Processing Fees: Stripe payment processing fees for each transaction
• Net Earnings: Gross Revenue minus Platform Fees minus Processing Fees. This is the amount you receive.

Monthly Statement Delivery

• Statements are generated and delivered to you by the 15th of the month following the billing period
• Access statements through the Billing section of your operator dashboard
• Download statements as PDF for your records

Net Earnings Deficit

Per the Operator Terms & Conditions Section 5.6, a Net Earnings Deficit occurs when platform fees exceed your revenue in a given month:

• When It Happens: This can occur during low-volume months, when you have few active renters, or when a high proportion of renters are on low-tier plans
• How It Works: The deficit carries forward to the next billing period. Future earnings are first applied to reduce the deficit.
• Resolution: Once the deficit is fully offset by future earnings, normal payouts resume
• Persistent Deficits: If the deficit persists over multiple months, you may be required to make a payment to cover the balance

Minimum Mailbox Term

Per the Operator Terms & Conditions Section 5.3, every renter has a Minimum Mailbox Term of six (6) months:

• The 6-month term begins on the date of service activation
• During this term, the operator receives Mailbox Fees for the full term, even if the renter cancels early
• If a renter cancels before completing the minimum term, they may be charged for the remaining months
• This protects your revenue investment in onboarding each renter

Non-Paying Renter

Per the Operator Terms & Conditions Section 5.4, a Non-Paying Renter is defined as a renter who has been inactive for 60 or more days:

• 60-Day Trigger: After 60 days of inactivity (no payments, no action requests, no account activity), the renter is classified as Non-Paying
• Account Closure Process: The Non-Paying classification triggers the account closure process
• Mail Handling: Follow platform procedures for handling remaining mail - contact the renter for instructions, and if no response, follow the default disposition procedures
• Revenue Impact: You stop receiving Mailbox Fees for Non-Paying renters once the account is closed

Payment Timeline

The complete payment timeline for each billing period:

• Month 1 (Billing Period): Renter payments are collected throughout the month as charges are incurred
• Month 2, Day 15 (Statement): Monthly Statement is generated and delivered to you
• Month 2, Day 30 (Payout): Net Earnings are deposited to your bank account (approximately 15 days after statement generation, per the Operator Terms & Conditions Section 5.5)

Dispute Window

• You have 30 days from the date of the Monthly Statement to dispute any charges or calculations
• Review your statement carefully upon receipt
• If you identify a discrepancy, contact C-Band Mailbox support with the specific line items in question
• Disputes are investigated and resolved within 15 business days

For payment processing details, see Payment Processing. For financial reporting, visit Generating Reports.

For additional support, visit our Help Center or submit a support ticket.