A Finders Fee Agreement is a legal document that outlines the terms and conditions under which a finder is paid for introducing a buyer or seller to a product or service. Please note that these are general guidelines only and may vary depending on your specific needs. It is important to consult with a legal professional before creating any Finders Fee Agreement.
A Letter of Intent for Promotion should contain the following:
Parties to the agreement: This section should clearly state the details of the parties involved in the agreement.
Scope of services:
Precisely define the specific services the finder will provide. This
section should outline the finder’s activities to identify and present
Fee structure and payment terms:
Specify how the finder will be compensated. It includes determining
whether the fee will be a fixed amount or a percentage of the
transaction value. The agreement should also indicate when and how the
finder’s fee will be paid upon successful transaction completion, in
installments, or at predetermined milestones.
Exclusivity and non-circumvention:
If the agreement includes exclusivity terms, the client cannot engage
with other finders for the same purpose during a specified period.
Non-circumvention clauses prevent the client from directly contacting or
working with the identified opportunities without involving the finder.
It is necessary to include a clause on confidentiality to safeguard the
confidentiality of sensitive information shared during the engagement.
It ensures the finder does not disclose any proprietary or confidential
information obtained while providing services.
Term and terminations: Specify the duration of the engagement and the conditions under which either party can terminate the agreement.
Indemnification and liability: It is essential to address liability and indemnification to protect both parties. The agreement should clearly define each party’s responsibilities and liabilities and outline the process for resolving disputes or claims arising from the agreement.
Governing law and jurisdiction: To establish legal clarity, indicate the governing law under which the agreement will be interpreted and enforced.