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.