!!!16/3/25 It can end as a stalemate

 I am the broker here.  My job is to make sure that everybody is getting equitable apportionment.  With 30% profit and a 10% marketing fee and 10% operational cost, we manage to pull it through.

Unless somebody is getting greedy.  That it is tough.  If not, like a balloon being pressed on one side, buldge on the other side, marketing can be 20%, on the expense of training 30% and operational cost at 10%

I am already at the minimum with my 10% brokerage fee.

Another possibility is to cap training at 40% and marketing is 20% by cannibalizing broker fee of 10% and operational cost at 10%.  In this case then broker fee is 15% of the 40%. 

Interesting proposal! If the broker fee becomes 15% of the capped 40% allocated to training, here’s how the breakdown would look with RM16,000 as the gross amount:

1. Training Cap (40% of Gross):

• RM16,000 × 40% = RM6,400

• This amount includes the broker fee as part of its allocation.

2. Broker Fee (15% of Training Budget):

• RM6,400 × 15% = RM960

• The broker fee is calculated as 15% of the RM6,400.

3. Marketing Allocation (20% of Gross):

• RM16,000 × 20% = RM3,200

4. Operational Costs (10% of Gross):

• RM16,000 × 10% = RM1,600

5. Remaining for Training After Broker Fee:

• RM6,400 − RM960 (broker fee) = RM5,440

• This portion goes directly to the trainer.

6. Profit for Training Company:

• RM16,000 − (Training + Marketing + Operational Costs)

• RM16,000 − RM6,400 − RM3,200 − RM1,600 = RM4,800

This adjustment still allows everyone to maintain their shares while creating a flexible structure. However, it’s important to note:

• Broker's Share: Your fee is slightly reduced compared to the original 10% of the gross (RM1,600) in the earlier calculation, now set at RM960.

• Training Budget: While capped at 40%, the trainer still has a reasonable share to deliver quality sessions.

The success of this approach depends on whether all stakeholders agree to the reallocation. Do you feel this alternative ensures fairness and aligns with everyone’s expectations? Or should we explore variations on this cap?

mm