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Revenue Sharing Agreement template
Revenue Sharing Agreement sample


What is Revenue Sharing Agreement?

Revenue Sharing Agreement An agreement for sharing revenue among parties, specifying revenue-sharing terms, allocation, and distribution mechanisms.



Sample template:



Revenue Sharing Agreement


This Revenue Sharing Agreement (the "Agreement") is entered into as of the effective date (the "Effective Date") by and between SwiftDigital Marketing LLC, a [STATE] limited liability company ("SwiftDigital"), and SmartTech Solutions Inc, a [STATE] corporation ("SmartTech") (collectively, the "Parties").

1. Purpose

The purpose of this Agreement is to establish the terms and conditions under which the Parties agree to share revenue generated from their joint marketing campaign (the "Campaign"). The revenue source includes income generated from sales and leads resulting from the Campaign, such as product sales, advertising, and subscription services.



2. Revenue-Sharing Terms

2.1. Revenue-sharing Percentages


The Parties agree to share revenue generated from the Campaign as follows:


a) SwiftDigital shall receive [●]% of the total revenue generated from the Campaign;


b) SmartTech shall receive [●]% of the total revenue generated from the Campaign.



2.2. Adjustments to Revenue-sharing Percentages


Any adjustments to revenue-sharing percentages shall be agreed upon in writing by both Parties and shall become effective upon execution of such written agreement.



3. Allocation of Revenue

All revenue generated from the Campaign shall be allocated and distributed in accordance with the revenue-sharing percentages set forth in Section 2.1. The allocation of revenue shall be based on the net revenue received by the Parties from the Campaign after deducting allowable expenses related to the Campaign, as agreed upon by the Parties in writing.



4. Payment Schedule

4.1. Payment Terms


Payments to each Party for their respective share of the revenue shall be made on a monthly basis, no later than thirty (30) days following the end of each calendar month.



4.2. Payment Method


All payments under this Agreement shall be made by check, wire transfer, or any other means mutually agreed upon by the Parties in writing, and in U.S. dollars.



5. Reporting Requirements

5.1. Monthly Reports


Each Party shall provide the other Party with a monthly report detailing the revenues generated from the Campaign for the preceding month, as well as allowable expenses and each Party's revenue share calculated in accordance with this Agreement. Such monthly reports shall be provided within fifteen (15) days after the end of each calendar month.



5.2. Reporting Discrepancies


If either Party, in good faith, disputes the accuracy of any report provided by the other Party, such disputing Party shall notify the other Party in writing, and the Parties shall work together in good faith to resolve any discrepancies.



6. Term and Termination

6.1. Term


This Agreement shall commence on the Effective Date and shall continue until terminated by either Party in accordance with Section 6.2 below.



6.2. Termination


Either Party may terminate this Agreement for any reason upon thirty (30) days' prior written notice to the other Party. In the event of termination, each Party's right to revenue sharing shall survive and continue in accordance with the terms of this Agreement.



7. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the United States and the State of [STATE], without regard to conflicts of law principles.



8. Entire Agreement

This Agreement, including any exhibits or schedules hereto, constitutes the entire Agreement between the Parties concerning the subject matter herein and supersedes all prior and contemporaneous agreements, whether written or oral, between the Parties relating thereto.



9. Amendment

No amendment, modification, or waiver of this Agreement or any provision hereof shall be effective unless in writing and signed by both Parties.



10. Counterparts

This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.



IN WITNESS WHEREOF, the Parties have executed this Revenue Sharing Agreement as of the Effective Date.

SwiftDigital Marketing LLC
_______________________
[Name], [Title]

SmartTech Solutions Inc
_______________________
[Name], [Title]

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Main Sections of a Revenue Sharing Agreement


In this Revenue Sharing Agreement, you will see the following sections:

  1. Purpose
  2. Revenue-Sharing Terms
  3. Allocation of Revenue
  4. Payment Schedule
  5. Reporting Requirements
  6. Term and Termination
  7. Governing Law
  8. Entire Agreement
  9. Amendment
  10. Counterparts


About each Section - Analysis and Summary:

  1. Purpose : This section explains the reason for the agreement, which is to establish the terms and conditions for sharing revenue generated from a joint marketing campaign between SwiftDigital and SmartTech.

  2. Revenue-Sharing Terms : This section outlines the agreed-upon percentages of revenue each party will receive from the joint marketing campaign. It also states that any adjustments to these percentages must be agreed upon in writing by both parties.

  3. Allocation of Revenue : This section describes how the revenue generated from the campaign will be allocated and distributed based on the agreed-upon percentages in Section 2.1. The allocation will be based on net revenue after deducting allowable expenses related to the campaign.

  4. Payment Schedule : This section details the payment terms and methods for each party's share of the revenue. Payments will be made on a monthly basis, no later than 30 days after the end of each calendar month, and can be made by check, wire transfer, or other agreed-upon methods.

  5. Reporting Requirements : This section requires each party to provide the other with a monthly report detailing the revenues generated, allowable expenses, and each party's revenue share. It also outlines the process for resolving any discrepancies in the reports.

  6. Term and Termination : This section states that the agreement begins on the effective date and continues until terminated by either party. Either party can terminate the agreement for any reason with 30 days' written notice. The right to revenue sharing will continue even after termination, according to the terms of the agreement.

  7. Governing Law : This section specifies that the agreement will be governed by and construed in accordance with the laws of the United States and the State of [STATE], without regard to conflicts of law principles.

  8. Entire Agreement : This section states that the agreement, including any exhibits or schedules, constitutes the entire agreement between the parties and supersedes all prior and contemporaneous agreements related to the subject matter.

  9. Amendment : This section explains that any amendments, modifications, or waivers of the agreement must be in writing and signed by both parties to be effective.

  10. Counterparts : This section allows the agreement to be executed in counterparts, each of which is considered an original, but all of which together constitute one and the same instrument.

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