A Commission Agreement is used when an individual or business, usually a salesperson, will sell for, or introduce clients to, a third party. They will then receive a commission for the sale or introduction. 

Generating some sales by way of commission is a great way to earn some extra cash, but you want to make sure that your rights are protected and that your revenue streams are secured. This is why you need a contract to formalise this agreement.

Why Do I Need A Commission Agreement?

Whether you are utilising an individual or business to sell your product or services, or you are the seller, having a Commission Agreement in place will provide certainty in terms of how commissions are calculated, and set out parties rights and obligations.

What Is Included?

In a Commission Agreement, clauses are typically included to address the following:

  • Parties rights
  • Parties obligations
  • Calculation of commission
  • Audit rights to ensure commissions are appropriately paid
  • Termination 
  • Dispute resolution

Need Help?

Contact our friendly team at team@sprintlaw.com.au or on 1800 730 617 to find out if a Commission Agreement is right for you.

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