Fair Commission rates/finders fee
whattodowhattosaynow · 21/05/2022 09:52
I have a brand new business and I have a niche which requires wealthy clients.
Someone I know (and trust) moves in these circles and has already linked me up with a few of these people.
She's asked for a 12% finders fee going forward.
Is this about the right sort of level?
It would otherwise take me years to break through to these sorts of clients (who are my ideal target market).
Is 12% a normal level of finders fees - and do you add an amount to the client's quote to account for this?
Many thanks for your advice!
DelilahBucket · 21/05/2022 19:19
I'm not in this kind of business, but I am an online retailer, and 12% to sell my products is a reasonable fee in my opinion. It would cost you a lot more in advertising to get the clients organically.
Of course, like all expenses, it needs to be covered by your income, so you charge accordingly.
Hoppinggreen · 23/05/2022 14:17
Look at how else you would get business and what the cost of acquiring a client another way (assuming it would be possible) and decide if it’s reasonable.
It sounds ok as long as it still allows you plenty of profit
StickyFingeredWeeNed · 26/05/2022 09:14
Some affiliate schemes go as high as 50% - so 12% to break into a luxury market is a bargain!
To comment on this thread you need to create a Mumsnet account.