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Thread: Reseller percentage?
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08-23-2004, 03:00 PM #1WHT Addict
- Join Date
- Apr 2004
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- 103
Reseller percentage?
Tried in the reseller forum with no results so I'll just try here instead.
My company has developed a system for online presentations. Now we are going to sell this through a reseller and are about to discuss what procentage from the sales that we should get and what he should keep.
We are doing all the hosting, maintenance and developing.
They are doing all the support and sales.
What would be a fair deal? Note that my company also purchases all the servers, bandwith etc.
Thanks!
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08-23-2004, 07:23 PM #2Web Hosting Master
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- Nov 2002
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- Mississippi
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- 558
What does it cost you v.s. what it costs them...No way anybody else can answer this but you and your reseller...
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08-24-2004, 01:19 PM #3WHT Addict
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- Apr 2004
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- 103
I'm not asking for you to tell me exacly I'm just asking for guidelines..
I will pay for all hosting, I have spent about 1000 hours writing the system. He will simply sell it and do some user support.
Like should it get 20% or 50% or maybe 10%? What is common? What have
you experienced before?
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08-24-2004, 08:03 PM #4Web Hosting Evangelist
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- Apr 2004
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- Toronto, Canada
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Originally posted by d_l0rd
I'm not asking for you to tell me exacly I'm just asking for guidelines..
I will pay for all hosting, I have spent about 1000 hours writing the system. He will simply sell it and do some user support.
Like should it get 20% or 50% or maybe 10%? What is common? What have
you experienced before?
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08-25-2004, 07:27 AM #5New Member
- Join Date
- Aug 2004
- Posts
- 3
Some regnow affiliates require 30%.
I would say 20-40% is OK depending on the sales figures.
Lets say you start with 20%, then you could increase your comission to 30% for your best resellers.
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08-25-2004, 09:41 AM #6Junior Guru
- Join Date
- Jul 2002
- Location
- Dublin, Ireland
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- 240
Surely you have a business plan which would give you a complete finanical breakdown allowing you to know exactly how much the reseller can take while you still make a healthy profit?
There's no point in us telling you 50% and two months down the line you realise your reseller is making twice as much money as you.