Affiliate Marketing Partnership

Soupyone

Banned
Dec 8, 2009
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Les Etats Unis
I'm entering into a partnership with an investor that's supplying the domain name and marketing funds while I handle 100% of the development and marketing.

We've been working on strategy for about five months now and we're about to launch the website's alpha phase.

Question, do you guys have any suggestions on how we should split profits?

The investor/company is in the financial investments field so I suggested something along the lines of the 2/20 fee. [compensation is the last thing we're working on since they also paid me to build the website.]

What do you guys think is fair?

I'll answer as many questions as possible.

We'll be acting as an affiliate if it matters.

(We're considering the relationship along the lines of a Hotel Owner & Hotel Operator relationship.)
 


Meh. The 2% management fee is meant to pay the bills. Since the investor has already paid you to develop the website, you should not take the management fee and instead push for a higher commission.

My 2 cents.
 
Interesting... How high would you go?

25% seems reasonable. However, if your investor likes a 2/20 fee structure, stick with it. Your time will be better spent marketing than to keep negotiating your fees.

Good luck with the launch! :food-smiley-010:
 
It depends on the niche, but as a general rule, you should always start with 30% as a starting point for negotiating affiliate commissions.