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Referral Fee Agreement

This Referral Fee Agreement template is used when one party agrees to pay a fee to another party for referring a client or customer that results in a successful transaction. It outlines the terms, conditions, and payment structure of the referral arrangement.

Updated 2d ago
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Company Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

Referral Fee Agreement

This Referral Fee Agreement (hereinafter referred to as "Agreement") is made and entered into on this {{date_of_agreement}} day of {{month}}, {{year}},

BETWEEN:

{{referring_party_name}}, a company/individual residing at {{referring_party_address}} (hereinafter referred to as "Referrer");

AND

{{referred_party_name}}, a company/individual residing at {{referred_party_address}} (hereinafter referred to as "Company").

Collectively referred to as the “Parties”.

WHEREAS, the Referrer desires to refer potential clients/customers to the Company, and the Company desires to compensate the Referrer for successful referrals in accordance with the terms and conditions set forth herein.

1. Referral Services

The Referrer agrees to use their best efforts to refer potential clients or customers (hereinafter referred to as "Referred Clients") to the Company for the purpose of {{description_of_services_or_products}}.

The Referrer shall provide all necessary information about the Referred Client to the Company, including but not limited to, {{referred_client_name}}, {{referred_client_contact_person}}, {{referred_client_contact_number}}, {{referred_client_email}}.

The Company reserves the right to accept or reject any Referred Client at its sole discretion.

2. Referral Fee

In consideration for each successful referral that results in a completed transaction between the Company and a Referred Client, the Company shall pay the Referrer a referral fee of {{referral_fee_percentage}}% of the net revenue generated from the transaction, or a fixed amount of {{referral_fee_amount}} ({{currency}}).

The

"net revenue" shall be defined as {{definition_of_net_revenue}}.

3. Payment Terms

Referral fees shall be calculated and paid to the Referrer within {{payment_days}} days of the Company's receipt of payment from the Referred Client for the completed transaction.

Payments will be made via {{payment_method}} to the Referrer's nominated account: {{bank_name}}, Account Number: {{account_number}}, Branch Code: {{branch_code}}.

The Referrer shall be responsible for any applicable taxes on the referral fees received.

4. Term and Termination

This Agreement shall commence on the date first written above and continue until terminated by either Party.

Either Party may terminate this Agreement at any time, with or without cause, by providing {{notice_period}} days written notice to the other Party.

Upon termination, the Company shall pay any outstanding referral fees earned prior to the effective date of termination.

5. Confidentiality

Both Parties agree to keep confidential all proprietary and sensitive information disclosed during the term of this Agreement, including but not limited to client lists, pricing strategies, and business operations.

6. Governing Law and Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of {{country_of_jurisdiction}}.

Any disputes arising out of or in connection with this Agreement shall be resolved through amicable negotiation. If a resolution cannot be reached, the Parties agree to submit to mediation in accordance with the rules of {{mediation_body}}, or failing that, to the exclusive jurisdiction of the courts of {{city_of_jurisdiction}}.

7. Entire Agreement

This Agreement constitutes the entire understanding between the Parties concerning the subject matter hereof and supersedes all prior agreements, understandings, negotiations, and discussions, whether oral or written, between the Parties.

Signature Block

IN WITNESS WHEREOF, the Parties have executed this Agreement on the date first written above.

REFERRER

_____________________________

Name: {{referrer_signatory_name}}

Title: {{referrer_signatory_title}}

COMPANY

_____________________________

Name: {{company_signatory_name}}

Title: {{company_signatory_title}}

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