How much commission does FREENOW take?

Decoding FREENOW’s Commission Structure: A Clear Breakdown for Drivers

For drivers considering joining the FREENOW platform, understanding the commission structure is crucial for calculating potential earnings. While the specifics can seem complex at first glance, FREENOW operates on a relatively straightforward model. Let’s break down exactly how much FREENOW takes and clarify any potential grey areas.

The standard commission rate for rides booked through the FREENOW app is 18% of the total fare, inclusive of VAT (Value Added Tax). This means that for every £10 fare a passenger pays, FREENOW deducts £1.80. It’s important to note that this percentage applies solely to the fare itself.

Several key elements are excluded from the 18% commission calculation:

• Tips: Any tips generously given by passengers go directly to the driver and are not subject to any commission. This allows drivers to benefit fully from passenger appreciation.
• Bonuses: FREENOW occasionally offers bonus incentives to drivers for completing specific targets or working during peak hours. These bonuses are also paid in full to the driver and are separate from the commission structure.
• Tolls and Parking: Any tolls or parking charges incurred during a journey are the responsibility of the passenger and are added to the fare. While the fare itself is subject to commission, the toll and parking portions are passed through directly and are not included in the 18% calculation.

FREENOW also offers a unique “Hop-on” feature, allowing passengers to hail a cab on the street and then pay through the FREENOW app. For these street-hailed rides, the commission structure differs significantly. FREENOW applies a considerably lower 2% commission to Hop-on journeys. This incentivizes drivers to utilize the app even for traditional street hails, providing a convenient and secure payment method while minimizing the commission impact.

In summary, understanding FREENOW’s commission structure is essential for managing earnings expectations. The standard 18% commission applies to app-booked rides (inclusive of VAT but excluding tips, bonuses, tolls, and parking), while the Hop-on feature offers a significantly reduced 2% commission for street-hailed rides paid through the app. This transparent breakdown empowers drivers to make informed decisions about their work and maximize their income potential.