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Fees, penalties, and adjustments

Canonical policy for platform fees, late penalties, and termination-related charges.

This page is the policy anchor for fees in Seedling paid collaborations. If another page quotes a number, it should link here.

Last updated: 2026-02-11.

Scope

Applies to:

  • paid collaborations funded in escrow

  • milestone-based projects that trigger payouts

Does not cover:

  • Growth Tool Credits (AI usage)

  • third-party processor fees outside Seedling’s control

Definitions (plain language)

  • Gross budget: the amount a patron funds for the collaboration.

  • Platform fee: Seedling’s fee applied to the gross budget.

  • Net payout: what the collaborator receives after platform fee and adjustments.

  • Overdue window: each 24-hour period after the deadline.

Platform fee (15%)

Seedling applies a 15% platform fee to the gross budget. This supports escrow security, processing, and ecosystem maintenance.

Net payout baseline:

  • Net payout = Gross budget × 0.85

Example

  • Gross budget: $100.00 (example: 10,000 Sprouts)

  • Platform fee (15%): $15.00

  • Net payout baseline: $85.00

Late completion adjustment (5% of net per 24 hours)

If work is overdue, Seedling reduces the net payout. The reduction is 5% of net payout per 24 hours overdue.

Typical handling:

  • A ~1 hour grace period applies after the deadline.

  • After grace ends, the first 24-hour window begins.

Calculation:

  • Adjusted payout = Net payout × (1 − 0.05 × days_overdue)

Example

  • Net payout baseline: $85.00

  • Two days late: 10% reduction of net

  • Adjusted payout: $76.50

Late adjustments are based on the net payout. They do not change the platform fee percentage.

Some collaborations support termination flows. These flows exist to protect both sides when work is stopped midstream.

Current reference numbers:

  • Termination fee: $25.00 (charged to the patron when ending after work begins)

  • Severance / kill fee: 25%–50% (paid to the collaborator when applicable)

Display and transparency

Seedling should show:

  • gross budget

  • estimated net payout before acceptance

  • any late adjustments as a distinct line item

Policy updates

Fees can change over time. When they do, Seedling should:

  • update this page

  • update UI copy where fees are displayed

  • announce changes before they take effect

Last updated