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Affiliate Agreement Template: Commission, Links and Term
AFFILIATE AGREEMENT FAQ
What is an Affiliate Agreement?
An Affiliate Agreement is a contract between a business (the merchant) and an affiliate (the promoter) that governs the terms under which the affiliate markets the merchant’s products or services in exchange for compensation, typically a commission.
Why is an Affiliate Agreement important?
It ensures clarity by defining roles, commission rates, payment schedules, and acceptable marketing practices. It also protects the business brand by setting rules on advertising, compliance, and intellectual property use.
When should you use an Affiliate Agreement?
Use it whenever establishing or expanding an affiliate marketing program. It is particularly useful for e-commerce businesses, digital service providers, and companies leveraging influencers or referral partners.
What should an Affiliate Agreement include?
It should outline commission structures, payment terms, marketing guidelines, intellectual property rights, termination provisions, and governing law. It may also include restrictions to ensure compliance with advertising laws and industry standards.
Does an Affiliate Agreement create an employment relationship?
No. Affiliates are independent contractors, not employees. The agreement should clearly state this to avoid misclassification issues.
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