How much should you pay a business referrer?
Updated on September 24, 2026. This guide describes French law in force on September 24, 2026.
The short answer
Pay a share of what the sale really brings you. The right rate is one that stays profitable for you if the referrer sends you ten clients, not just one.
The method in four steps
- Start from your gross margin on a typical sale: the sale price minus what that sale costs you directly.
- Decide how much you are willing to spend to win a client. You already spend it on advertising, trade shows or cold outreach.
- Express it as a percentage of the amount collected, excluding VAT. The referrer does not know your margin; they can check an amount collected.
- Write it down before any referral, with the basis of calculation and when it will be paid.
A worked example
A carpentry business signs a €12,000 job, excl. VAT. Its gross margin is 35%, or €4,200. It offers 5% of the amount collected excl. VAT: €600 for the referrer. It keeps €3,600 of margin on a client it would not have had.
These figures illustrate a calculation. They are not a market average.
What makes the rate vary
- The amount: the bigger the sale, the lower the percentage can be while the sum still motivates.
- Your margin: a high-margin trade can give more.
- The referrer’s work: passing on a name is not selling. If they stay with the client up to the meeting, they deserve more.
- The duration: for a client who pays every month, decide whether the commission covers the first invoice, the first year or the whole relationship, and write it down.
The mistakes that cost a lot
- Promising “a little something” with no figure: a dispute is guaranteed after the sale.
- Calculating on the quote rather than on the amount collected: if the client does not pay, you still pay.
- Forgetting the deadline: set one, for example 30 days after the payment is collected.
- Changing the rate after the fact: your whole network’s trust goes with it.
On GLAYDZ
Your rate is shown on your offer before any referral, and each referral gets a dated certificate. GLAYDZ takes no commission: the sum is settled between you and the referrer.
This guide is for information only. It does not replace a lawyer or an accountant.