This Agreement is used between two parties (individual or company) to summarize a referral structure, where Person A refers a 3rd party (person or company) to Person B in return for a referral fee payment. This can be a percentage or set dollar amount or another form of compensation. This can also be mutual where both parties are referring back and forth between each other.
Suitable for any: Sole Proprietorship (Solo-preneur), General Partnership
Company (LLC, Corporation – S-Corp/C-Corp, Benefit Corp, Non-Profit).
Also related to: Partnership Agreement, Affiliate Agreement, Influencer Agreement
This is different from an Affiliate Agreement because an Affiliate doesn’t own a portion of the Company – the Affiliate is just providing exposure for the Company’s products and services in return for an Affiliate commission or payment.
This is different from an Influencer Agreement because an Influencer doesn’t own a portion of the Company – the Influencer is just providing publicity for the Company’s products and services in return for payment.
This is different from a Partnership Agreement because a Referring party doesn’t own a portion of a Partnership business – the parties in the Referral agreement are just providing referrals to each other with payment in referral fees, only.
This is different from an Independent Contractor Agreement because an Independent Contractor doesn’t own a portion of the Company – the Contractor is just providing services for the Company