Glossary · Industry roles
Sub-ISO
A sub-ISO is a smaller broker or agent that sends deals through a larger ISO instead of contracting with funders directly, and splits the commission.
Also called sub ISO, referral partner, agent ISO
Sub-ISOs often lack funder relationships or volume, so they route merchants through an ISO that has them. The ISO submits, the funder pays the ISO, and the ISO pays the sub-ISO its share under their agreement.
That makes commission splits and clean attribution essential. Record which partner sent each deal, the agreed split and what has actually been paid, so month-end payouts and any clawbacks can be passed through correctly.
Track it on every deal
Statements, offers, positions and commissions with the math worked out, in one CRM for lending companies.
Related
- FeatureCommissions and reconciliationTrack expected versus received commissions per funded deal, split them with reps and partners, handle clawbacks, and reconcile lender commission statements line by line.Read
- Free toolISO commission calculatorCalculate an ISO's commission on a merchant cash advance: base points, upsell from the buy and sell rate, commission basis, rep and partner splits and clawback exposure.Read
- GlossaryISOIn merchant cash advance, an ISO (independent sales organization) is the broker that finds merchants, packages their files and submits them to funders for a commission.Read
- GlossaryCommission splitA commission split divides the commission a funder pays on a deal between the house, the closer and any sub-ISO or referral partner, by agreed percentages.Read
- GlossaryClawbackA clawback is a funder taking back an ISO's commission because the merchant defaulted or stopped paying within a set window after funding, often 30 to 90 days.Read
- GlossaryISO agreementAn ISO agreement is the contract between a broker and a funder that sets commission rates, clawbacks, submission rules and restrictions before any deal is sent.Read