Defining what each party does.
WHAT TO ESTABLISH
What each party contributes What each party receives Who does what, specifically Who owns the customer relationship How money flows How decisions are made How it ends
WHY CUSTOMER OWNERSHIP MATTERS MOST
It determines who has a business at the end.
WHAT TO DEFINE
Who holds the contract with the customer Who provides support Whose brand appears What happens to customers if the partnership ends
WHY THAT LAST POINT
It is the question nobody asks until it matters.
WHAT MONEY ARRANGEMENTS EXIST
Referral fee, paid on a customer introduced Commission on revenue generated Margin, where one party resells Revenue share, on an ongoing basis Fixed payments
WHAT TO ESTABLISH
What triggers payment How it is calculated When it is paid How it is verified
WHY VERIFICATION
Revenue share depends on the other party's reporting.
WHAT TO ESTABLISH
An audit right, or reporting you can check.
WHAT TO AVOID
Arrangements too complex to administer Calculations that depend on information you cannot see Payments contingent on outcomes neither party controls
WHAT TO ESTABLISH ABOUT EXCLUSIVITY
Whether either party is restricted.
WHAT TO BE CAUTIOUS OF
Exclusivity without performance obligations.
WHY
It prevents you working with others while they do nothing.
WHAT TO ESTABLISH
Minimum performance, and what happens if it is not met.
WHAT TO DOCUMENT
All of it, before starting.
