How revenue share rent works
In a revenue share (turnover rent) lease, the tenant pays a share of its sales instead of — or on top of — a fixed rent. The most common Indian structure is MG or revenue share, whichever is higher: a mall unit might pay ₹1,50,000 a month or 12% of monthly sales, whichever is more.
| Month | Gross sales | 12% of sales | Rent billed |
|---|---|---|---|
| April | ₹11,85,000 | ₹1,42,200 | ₹1,50,000 (MG) |
| May | ₹13,42,000 | ₹1,61,040 | ₹1,61,040 (share) |
| July | ₹11,10,000 | ₹1,33,200 | ₹1,50,000 (MG) |
How LeaseHub360 handles it
- Set the model on the lease. Choose the revenue model, the MG and the revenue share % (or slabs).
- Capture sales. Monthly sales are entered or imported, then approved.
- Bill the right rent. The rent ledger applies the model and invoices follow automatically.
Frequently asked questions
What is minimum guarantee (MG) rent?
The minimum rent a tenant pays regardless of sales. In an 'MG or revenue share' lease the tenant pays the higher of the MG and the agreed share of sales.
What is MG plus revenue share?
The tenant pays the minimum guarantee and, in addition, a percentage of its sales.
Can sales be approved before they affect rent?
Yes. Sales figures are submitted and approved; only approved sales are used to calculate revenue share rent.
See it with your own leases
Book a free demo — send us a few leases and we'll show you your own rent roll.