I'm quite new to the scene of trading and researching how brokers work and, more importantly, how they make money. I finally got around to some reading material on brokers and saw that they change a fee based on the amount of shares per order you are throwing at them. I just want to make sure that I'm understanding this system correctly. So just like a restaurant has to pay for the food they cook as their cost to do business(overhead), traders have to pay broker fees to do business? I called a InteractiveBroker and they told me their flat rate fee structure is .005/share with a minimum order fee of $1.00. Does this mean to place an order I have to pay .005 per share that I want to buy/sell and if that value(shares*.005) is less than $1, the broker will round it up and charge me $1 anyway. That's the only way that make sense, but I just want to be sure that I get it. Do these broker fees apply to the buy and sell portion of a transaction? I would think that they do, but I just want to make sure.