<b>Hot reminder: "recurring" and "declining" are not opposites</b>

<b>Hot reminder: "recurring" and "declining" are not opposites</b>

A lot of SaaS programs pay recurring commission on a <i>decaying</i> schedule and bury it in the terms. 40% month one, 20% months two through six, 10% thereafter. Technically recurring. Practically a front-loaded payout dressed as an annuity.

Why it matters: people model these deals as flat. They assume $40/mo forever and build acquisition budgets on it. The real average over the customer's paying life might be $14/mo. Your unit economics on paid traffic just inverted.

The tell is language like "up to," "ongoing," or "for as long as they're a customer" with no flat rate stated. If the rate isn't a single number, assume it slides down.

Verdict: recurring tells you it repeats, not that it stays the same size.