An Affiliate Agreement is a document through which two parties, the company and the affiliate, form a relationship whereby the affiliate receives funds for certain qualified actions. Online affiliate agreements can take one of two forms: affiliate agreements whereby the affiliate receives funds for user clicks through to the company's website or affiliate agreements whereby the affiliate receives funds for user purchases for the company's goods or services.
Affiliate Agreements are very common nowadays, as many individuals who choose to work online can make significant income from affiliate relationships, depending on the reach of their websites or social media. Many users on big social media platforms contract with companies to promote products or services. When the company receives clicks or purchases from the affiliate's individualized links, the affiliate then receives a set amount or a percentage of the sale or a set amount per click.
In these types of agreements, the affiliate most often does not get a say in the specific terms. The affiliate simply signs up for the program that the company is offering and there is no bargaining over the agreement. These agreements are not signed, they are simply posted up on the company's website for the affiliate to read and agree to prior to signing up for the affiliate program.
How to use this document
This document should ideally be used by a company looking to create a comprehensive agreement for new affiliates. Affiliate Agreements, as mentioned above, are not bargained for, and therefore filling out this template just one time and posting it on the company website will be sufficient. The agreement is slanted towards the company - as most often, the company must ensure that all of their needs are covered.
In this document, the form filler will be able to enter pertinent identifying details of the company, such as the name and website. Then, details of the affiliate relationship will be inserted, such as what type of affiliate program it is and the specific payout terms.
There will also be general contract provisions included, which cover the state location for any disputes, as well as other general terms.
When this agreement is filled out, it is a good idea to simply post it up on the company website, as a complete document.
Affiliate Agreements in the United States are subject to both Federal laws and specific state laws, which cover general contract principles like formation and mutual understanding. The Federal Trade Commission, or FTC, in the United States, oversees affiliate disclosures.
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