Everyone wants to grow their businesses. It’s kind of the point of entrepreneurship.
We’re also always looking for easier ways to drive revenue for our businesses. If we’re going to make more sales, why not take the easiest route possible?
That’s where revenue sharing relationships can come into play.
It can seem like an easy way to create a new revenue stream or grow a revenue stream that already exists without having to do all the work yourself, but based on what we’ve seen with our clients, you need to be careful about what kind of agreement you’re getting into.
Unsure what I mean by this? Then you need to listen to this episode.
What a revenue sharing partnership looks like
Why profit sharing is preferred over revenue sharing
Why revenue/profit sharing is usually not a fair deal for the business owner?
Why having accurate and strong financial data s is so important for revenue/profit sharing partnerships
Why we prefer classic business partnerships where revenue and risk are shared equally