“We have already registered 100 partners to resell our software. The sale should start in a few months, it`s easy. The business world is full of resellers, especially in the EMEA and APAC regions. The reseller relationship starts with what you do after the agreement has been signed, while most companies think that signing the agreement is fulfilling. Dealer contracts are infamous for their lack of commitment and are easily signed by both parties (most resellers do not sign a document demanding revenue commitments). The ability to rely on their future assets to finance the growth phases of a start-up tends not to be inclinked without accountability that most resellers avoid, especially for young products (or markets). SaaS recommendation agreements are essentially models in which the reference company “buys” or introduces new leads to the Supplier SaaS. If the partner resells the product under your brand name (as a standard retailer), customers will know your name and the value of the brand will be returned to you. We`re going to look at the dealer model. Probably the most common and important for any indirect sales strategy. We look at key components of reseller agreements, aspects of business planning, and how reciting activities can be incorporated into general business forecasts. Ok, so this is a brief overview of the differences, but I thought it was worth mentioning some of the most important features of each model.

I can tell you that there are no strict and fast rules, because I have often seen a channel agreement that works as a hybrid of two models. So don`t forget to think about your model first, because the agreement should reflect (not define) your SaaS channel model. The relationship between the OEM and the distributor is based on a formal agreement. The agreement includes distributor storage, sales objectives, discount levels, logistics agreements, customer service and marketing activities. It should also cover the extent of the financial assistance, training, branding and marketing that you will provide to the distributor. The terms of the agreement vary depending on whether you are dealing with independent distributors or franchise distributors who only market your products. SaaS OEM agreements are designed to deal with the situation in which the SaaS solution is renamed for the OEM company and OEM generally provides Level 1 support, implementation and training services. A saaS recommendation agreement is an agreement in which the reference company introduces or “includes” brand new leads to the supplier. When an agreement is reached, the saaS supplier pays the part of the recommendation a percentage of the contract for a given period of time.

The supplier of SaaS is the one that sets the prices, not the party that designated the lead.