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Finance owns the migration model. The important distinction is between migration economics, web-book economics, and working-capital timing. Both fees are ongoing. Migration never ends — new store cohorts keep arriving, and each is migrated as it matures — so the 5% is a rate on what migrates, not a project cost that closes out.

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Fee mechanics

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What to model

  • Current app-store fee exposure
  • Eligible subscriber base, and the rate at which new store cohorts refill it
  • Migration cases: 40%, 55%, 70% of the base as it stands
  • Payment processing and tax costs on the chosen rail
  • Pilot and migration fee timing
  • Migration fees on ascension cohorts in later periods, not only the first wave
  • Oikos fee after each migrated subscriber’s first-year window
  • Cash-flow release from payout timing

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What not to assume

Do not treat cash-flow release as the same thing as margin recovery. Cash timing can help fund working capital during the migration, but monthly reclaimed margin alone does not instantly cover the full migration fee.

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Finance approvals

Finance usually approves:
  • Pilot fee
  • Migration fee mechanics
  • Rail costs
  • Oikos fee scope
  • Whole web-book treatment
  • Reporting requirements

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What finance receives in the Migration Hub

The Migration Hub should give finance a reviewable record of:
  • The recovery model and assumptions
  • Eligible subscriber base and migration cases
  • Pilot scope, fee, and credit treatment
  • Migration fee basis and invoice timing, including ascension cohorts
  • Oikos fee scope and first-year treatment
  • Payment processing and tax assumptions
  • Cash-flow timing assumptions
  • Reporting and export expectations