Get Paid 10 Cents on Every Extra Dollar You Make a Client

You agree a baseline from the client's current monthly revenue, and you get paid a percentage of everything above it. No growth, no payment.

By James Schramko · Updated November 2026

A revenue share deal pays you a percentage of what your partner makes. More sales for them means more money for you. No sales means no payment. You contribute the expertise, they provide the business.

Well-structured deals pay monthly for years. Some of my deals have run for over a decade. The main risk is wasted effort. If their business fails, you get nothing, and some partners will try to avoid paying. The structure below handles both.

Monday, pick one business you already know well, a current client or someone you refer work to, and write down their average monthly revenue. That number is your baseline.

Pay Only on Growth Above the Baseline

Always set a baseline revenue figure. You get paid on growth above their current level. This protects them and keeps you honest about adding value. If it is a start-up, the baseline may be zero.

Example: they are doing $50K a month. You get 10% of everything above $50K. In month one they do $60K, so you get $1K, which is 10% of the $10K increase.

Share revenue. Profit can be moved around through expenses and accounting. Revenue is cleaner and harder to hide.

Pay out on net revenue, which is actual money banked minus refunds. Payments are monthly for the previous month's sales. The first payment typically comes 45 days after activity starts.

The general range:

Low-margin businesses, such as e-commerce: 3-7% of revenue
Higher-margin businesses, such as services: 7-20% of revenue
Most deals fall between 7-10%

If your percentage gets too high relative to their profit margins, it builds resentment and threatens the deal.

Who to Offer It To

Revenue share puts the risk on you. Get the partner wrong and you waste months for zero return. Every filter here must pass.

Start with your existing network: current clients, past clients, and businesses you already refer work to. The best deals come from people you already know and trust.

Then check:

Growth. A functioning business with existing revenue, a clear growth opportunity, and a partner with the bandwidth to act. Markets in decline are tough to grow. It works best with businesses doing at least $50K a month.
Trust. Research their background. Their communication must be clear and honest. When you send an invoice, will it get paid? Trust your gut.
Team. They need a small team of contractors or employees to implement your ideas. Most failed revenue shares involve solo operators who cannot implement great strategies.
Tracking. If they cannot clearly show you monthly sales figures, walk away.
Excitement. Could you work with this person for years?

Before committing, test the partnership with an affiliate promotion. Run a simple offer to their audience. If nobody buys, you saved everyone time, however good the relationship or however large the list looks.

If the filters fail, take a retainer or a fixed fee project for that client and keep the revenue share for a better fit.

The Offer

Your pitch is about their growth. Say it simply:

"You built this business to where it is today. Well done. Working together, we can take it to the next level. Would you be willing to pay me 10 cents for every extra dollar we bring to your business?"

Points to make:

They only pay when they make more money.
There are no upfront costs for them.
Your track record and specific expertise.
What exactly you will help them achieve.

If you struggle to say what value you bring them, you will struggle to close the deal. Frame the deal as a license to your proven methods.

Before the agreement is drafted, get their legal entity details, their average monthly revenue, their estimated profit margins, and a clear project definition.

Put It in Writing

Never do handshake deals. Anyone who wants one does not understand business basics. You need a formal written agreement reviewed by a lawyer. This page is general business guidance; have the agreement and the structure checked by a qualified lawyer and accountant before use.

Core contract terms:

Client and project definition
The baseline figure and the exact percentage
Payment schedule, monthly
Sales tracking method and your access rights
Audit provisions, so you can verify their numbers
Termination conditions
Intellectual property protection
Confidentiality

Plan your exit before you start. Include a 30-day notice termination clause for you and clear termination triggers such as non-payment. Add buyout provisions if they sell the business, typically 24 months of average monthly royalties.

You need visibility into their sales. Get access to their cart or sales system, or a feed from their accounting software. Monthly spreadsheet reports work if you trust them.

Expect back-and-forth on the contract. This is where you discover problems early. If communication breaks down here, let the deal die.

What to Expect

Expect a slow start. Most deals take 3-6 months to gain momentum. Do not panic if month one is quiet.

Month-to-month payments vary. Not all deals fire at once, so build a portfolio of 8-12 deals and the income smooths out. A good portfolio keeps paying with little ongoing work.

Each month: review the performance report, send the invoice, check in with the partner, and keep supporting them with contacts and guidance. Their growth is your growth. Stay involved enough to make it work, and avoid becoming an employee.

Walk away from partners who expect overnight miracles, from struggling businesses that need rescuing, and from anyone who says yes immediately without asking questions.

Self-Diagnostic

List the businesses you work with or refer to today. For each one, can you write down their average monthly revenue? Can you see a growth opportunity you could deliver with their team? Would they pay an invoice? Any business that passes all three is a candidate. If none pass, you are not ready for revenue share yet.

What To Do This Week

Monday, pick the one candidate you know best and write down their current average monthly revenue as the baseline. Tuesday, set up a simple affiliate promotion to their audience as the test. By Friday, if the test converted, make the offer in the words above. Then ask for their entity details, margins and project definition so a lawyer can draft the agreement.

Quick Reference

Baseline first: you get paid on growth above their current monthly revenue. Start-up, zero baseline.
Revenue share only. Net revenue, money banked minus refunds, paid monthly.
Most deals land between 7-10%.
Offer it to established businesses you already know, with a team and clean sales tracking. Test with an affiliate promotion first.
Written contract with tracking access, audit rights, 30-day exit for you, and a buyout if they sell.
Expect 3-6 months before momentum. Build to 8-12 deals.

If what you sell is a group program of your own, the campaign that starts one is on Start a Small Group Program.

Structuring your first baseline deal against a real client's numbers is the kind of work I do with Mentor clients.