# Business models, explained

URL: https://gocutline.com/business-models/

How the main business models make money, with real examples, the numbers to watch, what goes wrong and one thing to do this week if you want to try one.

- [Subscription](https://gocutline.com/business-models/subscription/): Customers pay a fixed amount every month or year for as long as they keep using the product.
- [Freemium](https://gocutline.com/business-models/freemium/): A useful free version brings people in, and a small share of them pay for more. How the freemium model makes money, real examples, the numbers to watch and…
- [Marketplace](https://gocutline.com/business-models/marketplace/): You connect buyers and sellers, and take a cut when they trade. How the marketplace model makes money, real examples, the numbers to watch and what goes…
- [Dropshipping](https://gocutline.com/business-models/dropshipping/): You sell products online, and a supplier ships them directly to the customer. How the dropshipping model makes money, real examples, the numbers to watch and…
- [Print on demand](https://gocutline.com/business-models/print-on-demand/): You sell designs, and a printer makes each item only when it is ordered. How the print on demand model makes money, real examples, the numbers to watch and…
- [Affiliate marketing](https://gocutline.com/business-models/affiliate/): You recommend a product, and earn a commission when someone buys through your link. How the affiliate marketing model makes money, real examples, the numbers…
- [Advertising](https://gocutline.com/business-models/advertising/): People use the product for free, and companies pay to reach them. How the advertising model makes money, real examples, the numbers to watch and what goes…
- [Licensing](https://gocutline.com/business-models/licensing/): You let other companies use your brand, technology or content for a fee. How the licensing model makes money, real examples, the numbers to watch and what…
- [Franchise](https://gocutline.com/business-models/franchise/): Other people pay to run a copy of your business under your name. How the franchise model makes money, real examples, the numbers to watch and what goes wrong.
- [Direct to consumer](https://gocutline.com/business-models/direct-to-consumer/): You make your own product and sell it straight to customers, without shops in between. How the direct to consumer model makes money, real examples, the…
- [Agency](https://gocutline.com/business-models/agency/): A team does skilled work for clients, usually on projects or monthly retainers. How the agency model makes money, real examples, the numbers to watch and…
- [Productized service](https://gocutline.com/business-models/productized-service/): You sell a service like a product: one fixed scope, one fixed price. How the productized service model makes money, real examples, the numbers to watch and…
- [Consulting](https://gocutline.com/business-models/consulting/): Companies pay for your expertise, advice and judgement on a specific problem. How the consulting model makes money, real examples, the numbers to watch and…
- [Software as a service](https://gocutline.com/business-models/saas/): Customers pay a subscription to use software online, instead of buying it once. How the software as a service model makes money, real examples, the numbers…
- [Razor and blades](https://gocutline.com/business-models/razor-and-blades/): You sell the first product cheaply and earn on the refills that keep being bought. How the razor and blades model makes money, real examples, the numbers to…
- [Pay as you go](https://gocutline.com/business-models/pay-as-you-go/): Customers pay only for what they use, so the bill grows with them. How the pay as you go model makes money, real examples, the numbers to watch and what goes…
- [Membership](https://gocutline.com/business-models/membership/): Fans or members pay regularly for access, community and things only they get. How the membership model makes money, real examples, the numbers to watch and…
- [Transaction fees](https://gocutline.com/business-models/transaction-fees/): You charge a small fee each time money moves through your product. How the transaction fees model makes money, real examples, the numbers to watch and what…
- [Lead generation](https://gocutline.com/business-models/lead-generation/): You find people who want something, and sell their enquiry to the businesses that offer it.
- [Open core](https://gocutline.com/business-models/open-core/): The basic product is free and open source, and companies pay for what they need around it. How the open core model makes money, real examples, the numbers to…



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Cutline: Cutline is a weekly calendar and planner that turns time blocks into XP, levels and streaks. You plan your week in blocks, tick each one off when it is done, and see your progress on a social feed (the Floor) and a weekly leaderboard (the Arena). Planning and budgeting are free; paid plans add a badge, posting, messaging, shared calendars and lower selling fees, from $9 a month. Pro is free to try for 7 days.
Facts: https://gocutline.com/facts/ · Updated 2026-11-06
