Cloud Marketplace Licensing Calculator

Plan procurement with clear cost breakdowns and reports. Compare billing terms, support tiers, and commissions. Download results to share with finance and teams easily.

Calculator Inputs

Enter your pricing terms to calculate totals and a breakdown.
Used for display formatting only.
Calculator accepts multiple charge types as needed.
Used to estimate total contract value.
Annual billing can apply a prepay discount.
Flat monthly fee for the offer.
If subtotal is lower, the difference is added.
Seat-based licensing count.
Applied as Users × Price per user.
Capacity-based licensing count.
Applied as Cores × Price per core.
Number of deployed instances.
Applied as Instances × Price per instance.
Example: storage, requests, or data processed.
Shown in downloads and reports.
Applied as Usage quantity × Unit price.
For hourly billed add-ons, if applicable.
Applied as Hours × Hourly rate.
Typical range: 0–25% of eligible charges.
Often applies to subtotal plus support.
Negotiated discount on pre-tax charges.
Applied only when billing is annual.
Enter 0 if tax is not applicable.
Toggles are applied in the breakdown.
After submitting, the results appear above this form.

Example Pricing Dataset

Use this table to sanity-check inputs and validate your cost model assumptions.

Offer / SKU Charge type Unit price Typical quantity Notes
Secure Gateway Standard Base subscription (monthly) $499.00 1 Includes basic features and updates.
Secure Gateway Seat Pack Per user (monthly) $12.00 50 Assign seats to admins and analysts.
Compute Add-on Per core (monthly) $18.00 16 Scales with allocated vCPU cores.
Edge Connector Per instance (monthly) $75.00 4 For multi-region or HA deployments.
Telemetry Processing Metered usage $0.08 1200 GB-month Consumption varies with traffic patterns.
These values are illustrative only and not vendor-specific.

Formula Used

The calculator treats all unit prices as monthly equivalents, then layers fees, discounts, and taxes in a transparent order.

1) Monthly component subtotal
  • Seats: Users × Price per user
  • Capacity: Cores × Price per core
  • Instances: Instances × Price per instance
  • Metered: Usage quantity × Unit price
  • Hourly: Hours × Hourly rate
  • Subtotal: Base fee + all components
2) Add-ons, fees, discounts, tax
  • Commitment floor: max(0, Min commitment − Subtotal)
  • Support: (Subtotal + Floor) × Support %
  • Marketplace fee: (Subtotal + Floor + Support) × Fee %
  • Commercial discount: (Pre-tax total) × Discount %
  • Annual prepay discount: Applied only for annual billing
  • Tax: (After discounts) × Tax %
Total equations (monthly equivalent)
PreFee = Subtotal + Floor + Support
PreDiscount = PreFee + MarketplaceFee
AfterDiscount = PreDiscount − (PreDiscount × CommercialDiscount%)
AfterAnnual = AfterDiscount − (AfterDiscount × AnnualPrepay%)
MonthlyTotal = AfterAnnual + Tax
TermTotal = MonthlyTotal × TermMonths

How to Use This Calculator

  1. Select a licensing model that matches your marketplace offer.
  2. Enter your base fee and any seat, core, instance, or usage charges.
  3. Set the term length and billing frequency for your procurement plan.
  4. Toggle support, marketplace fee, and tax to match your contract terms.
  5. Add discounts to reflect negotiated pricing and prepay incentives.
  6. Press Submit to see totals and an invoice schedule above.
  7. Use Download CSV or Download PDF to share results.

Marketplace fee mechanics

Marketplace programs commonly apply a percentage fee to the customer-facing charge. In this calculator, the fee is computed after optional support, so you can test both gross and net approaches. For example, a 5% fee on a pre-discount total of 2,000 adds 100 per month. If your marketplace charges on usage only, set base fees to zero and keep metered lines active. Compare 3%, 5%, and 8% fee rates.

Seat, core, and instance scaling

User, core, and instance pricing represent three different growth curves. Seats match adoption, cores match capacity, and instances match topology. With 50 users at 12 each, the seat line contributes 600 monthly. If you add 10 users, costs rise by 120. With 16 cores at 18, capacity adds 288. A four-instance topology at 75 adds 300. Use these levers to reflect procurement scale accurately.

Metered usage forecasting

Metered units capture consumption such as data processed, storage, or requests. Quantity times unit price produces the metered line item. A forecast of 1,200 GB-month at 0.08 equals 96 monthly. Consider adding a buffer factor for peak months, then compare monthly versus annual billing to see how variability affects term value and invoices. For volatile workloads, model low, expected, and high cases to set guardrails.

Discounts, prepay, and term value

Commercial discounts are applied to the pre-tax total so negotiated pricing reduces recurring charges and platform fees in one view. A 10% discount turns 1,000 into 900. If annual billing is selected, an additional 5% prepay discount lowers 900 to 855. The calculator multiplies the final monthly equivalent by term months to estimate contract value. Use the annualized total to compare offers with different term lengths on a common baseline.

Governance and audit readiness

Licensing reviews are easiest when assumptions are documented and repeatable. Use the breakdown table to verify every driver, then export CSV for spreadsheet reconciliation and PDF for approval packs. The invoice schedule helps align budget owners with procurement cycles. When terms change, update one field, resubmit, and retain exports as a lightweight audit trail. Add internal notes for SKU mapping, entitlement limits, and renewal dates to reduce rework.

FAQs

1. What does monthly equivalent mean in this report?

All charges are normalized to a monthly basis so subscription, usage, and annual billing can be compared consistently. For annual billing, invoice amounts follow annual periods, but totals still show an average monthly value.

2. When should I use a minimum monthly commitment?

Use it when your contract includes a spend floor or committed minimum. If calculated subtotal is below the commitment, the tool adds an adjustment so finance can see the effective minimum cost.

3. How is the marketplace commission calculated?

The commission is a percentage applied to subtotal plus any commitment adjustment and optional support. If your marketplace applies fees differently, set the percentage to zero and add the fee as part of base pricing.

4. Do discounts apply before tax and support?

Commercial discount is applied after support and marketplace fee in this model, then tax is calculated on the discounted amount if enabled. If your policy discounts only product charges, set fee percentages to zero and discount the product lines.

5. How can I model seasonal or spiky usage?

Enter an average month for baseline, then rerun with high-month quantities to create a range. Save both CSV exports and use the delta to size contingency budgets or set alert thresholds.

6. What goes into the PDF and CSV exports?

Exports include key totals, the monthly breakdown lines, and the invoice schedule. The CSV is structured for spreadsheets, while the PDF is formatted for approvals and procurement packets.

Related Calculators

Cloud License EstimatorOS License PricingSaaS Subscription CostPer Core License CostServer License EstimatorLicense Renewal CostCommercial Software CostHybrid License CostCompliance License Cost

Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.