Referral Fee

December 12, 2013  |     |     |   0 Comment

In a website sale, a referral fee or finder’s fee is a fee paid to a third-party that played a role in enabling the buyer and seller to close the sale. The finder may have simply introduced the buyer to the seller.

A referral agreement could be a simple verbal agreement or a more complex legal contract signed by both parties. It could be a fixed fee or a percentage of the financial value of the transaction. This fee can be paid by the website buyer or seller or even by the professional broker handling the sale.

Author: 

Kris Tabetando provides mergers & acquisitions (M&A) advisory and brokerage services to Internet companies. He also partners with investors to acquire & manage Internet businesses.

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