How to formalise a deal introduction (and actually get paid)

The five clauses that matter

Strip away the boilerplate and an introducer agreement reduces to five things. If your agreement covers these clearly, you are covered for 95% of disputes that ever occur in this category.

1. The deal (or scope) being introduced

What, exactly, is being referred. Three levels of specificity:

• Single-deal agreements name the specific deal: this site, this capital partner, this client.
• Scope-of-business agreements name a category: "all conveyancing referrals", "all introductions to capital partners interested in residential development in Melbourne".
• Open referral agreements apply to any deal sent from one party to the other.

Single-deal agreements have the cleanest mechanics; open agreements are most commercially useful for ongoing relationships. Pick the structure that matches the relationship, not the structure that sounds most impressive.

2. The parties (and chain of introducers)

Who the parties to the agreement are, and whether there is a chain of introducers each owed a slice. If you were introduced to the originator by someone else, name them in the agreement and specify their share of the fee. Failing to document the chain is how the second-tier introducer gets cut out at settlement.

3. The fee formula

Not the dollar amount - the formula. The agreement should hold even if deal terms change. For service-pro referrals: "X% of the originator's commission, where commission is defined as [...]". For site introductions: "Y% of land value at unconditional contract, with a floor of $Z and a ceiling of $W". For capital raises: "K% of equity drawn down".

Document the formula AND the worked example for the current deal. Both, side by side. Future readers (lawyers, accountants, you in 18 months) need to be able to apply the formula to a revised deal or replicate the original number.

4. The trigger event(s) for payment

When the fee becomes payable. Different deal types have different conventions:

• Service-pro referrals: on first invoice paid, or on settlement. Tie to cleared funds, not the signing of paperwork.
• Property site introductions: on contract unconditional or on settlement. Sometimes staged across both. See the site introduction fee guide for trigger-event detail.
• Capital raises: on capital drawn down (not on the commitment letter). Pro-rata for tranched raises.
• JV deals: on financial close for one-off success fees; on distributions for slice-of-promote structures.

5. Exclusivity and clawback

Two protective clauses for both sides:

• Exclusivity period. How long the introducer remains the recognised source if the deal closes later than expected. 12 months for service-pro referrals; 12 to 24 months for property and capital deals. Without this, the originator can sit on the deal until the introducer "expires" and avoid paying.
• Clawback. Reverses the fee if the deal unwinds inside a defined window (typically 90 to 180 days from settlement or fee payment). Protects the originator if the client cancels, the buyer pulls out, or the capital partner withdraws.

What an agreement does not need

A two-page introducer agreement is enough for most deals up to $100k in fees. You do not need:

• An indemnity clause covering acts of God
• A 14-page boilerplate with confidentiality, IP, governing law, and dispute resolution sub-clauses
• A 5-day countersigning ritual involving witnessing and multiple originals

For larger fees ($100k+), get a lawyer to add the standard governance clauses. For everything else, a two-page document signed by email is enough.

Why this matters more than the headline number

The dealmakers who get paid consistently are not the ones with the highest stated fee structures. They are the ones with the cleanest paper trail: written agreement before introduction, clear trigger events, tracked deal status, and a documented chain.

On Socii, every introduction between members starts with a written agreement. The platform handles the formula, the trigger events, the exclusivity period, and the clawback - so you can focus on the introduction itself, not the paperwork around it.