Referral Fee Calculator
Work out a fair referral fee on any deal in seconds. Enter the deal value, the commission rate paid on the deal, and the share of that commission that goes to the referrer.
Works for the full range, from a $5k client referral up to a $500k introduction fee on a $50M property deal. Brokers, agents, accountants, lawyers, advisers, site finders, capital raisers, JV introducers.
- Commission rate = what you earn on the deal. E.g. 2% on a property sale, or a 3% success fee on a $10M capital raise.
- Referral rate = the share of your commission that goes to whoever sent the deal. E.g. 20% of your commission.
Sale price, loan amount, contract size, or equity raised.
What you earn on the deal. 2% in property, 10% in broking, 20-30% in agency, 2-5% on a capital raise success fee.
Share of your commission to the referrer. 20% is most common in property and broking. 25-50% for pre-qualified site finder or capital raise introductions.
Want the full breakdown emailed to you?
We will send your result and how to put this referral in place inside Socii - the built-in agreement template and the tracking that makes sure you actually get paid. Socii is invite-only, so our team will also review your details for membership.
How to use this calculator
- 1. Enter the deal value - the transaction the deal sits on (sale price, loan amount, contract size, or equity raised).
- 2. Enter your commission rate - the percentage you earn on the deal as the originator. For success-fee deals use the success-fee %.
- 3. Pick the referral rate - the share of your commission that goes to the referrer. The result updates as you type.
How referral fees actually work
A referral fee is a share of the commission earned on a deal, paid to whoever introduced the deal. It is not a percentage of the deal value itself, it is a percentage of what the originator earns from the deal.
On a $1,000,000 property sale at a 2% commission, the originator earns $20,000. A 20% referral fee on that is $4,000. The originator keeps $16,000. The same logic applies to mortgage broking, financial advice, accounting referrals, legal work passed across firms, and most B2B service introductions.
The number that sits in the 20% to 25% range is so common because it covers the referrer's time without making the originator feel the work isn't worth doing. Higher percentages (30%+) usually imply the referrer also helped close the deal, not just opened the door.
For bigger deals, the structure changes
Site introductions, capital raises, and JV introductions are usually paid as a fixed dollar fee or a % of the underlying transaction, not a slice of a commission.
- Site introduction fees: 1% to 2% of land value, or flat $50k to $500k on $5M to $50M sites. Paid on unconditional contract or settlement. See the site introduction fee calculator.
- Capital raise success fees: 2% to 5% of equity raised, often with a tiered structure. Paid when capital is drawn down. See the capital raise success fee calculator.
- JV / equity partner introductions: Often paid as a profit-share slice or a carry above hurdle. See the JV profit share calculator.
Three things to document
- What counts as a referral. Is it any warm introduction, or only ones that convert? For property deals, is it an introduction to the site, or to a developer who actually transacts? Be specific.
- When the fee is paid. On settlement, on first invoice paid, on DA approval, or on capital drawn down. Tie it to cleared funds, not the signing of paperwork.
- Clawback. What happens if the deal falls over inside 90 days. Most agreements reverse the referral fee in that window.
At Socii, every referral between members is tracked and paid through a written agreement, so there is no chasing, no awkwardness, and no disputes. See how it works.
Frequently asked
What is a fair referral fee?
Across professional services, referral fees typically run 10% to 35% of the commission earned on the deal. Property, mortgage broking, and financial advice commonly sit at 20% to 25%. Legal services are often 10% to 15% due to regulator rules. For site introductions to property developers, fees commonly run 1% to 2% of the land value, or a flat $50k to $500k on $5M to $50M sites. For capital raise introductions, 2% to 5% of the equity raised is standard.
Is the referral fee a percentage of the deal value or the commission?
Almost always a percentage of the commission earned on the deal, not the deal value itself. So on a $1,000,000 property sale at a 2% commission, the commission pool is $20,000. A 20% referral fee from that pool is $4,000. For capital raises and large site introductions, the structure is often flipped: the introducer is paid directly out of the deal proceeds as a flat fee or a % of the underlying transaction, not a slice of a commission.
Are referral fees legal?
Yes, in most professions and jurisdictions, but they must be disclosed to the client and documented in a written agreement. Some regulated professions have specific rules. Capital raise introducer arrangements may also fall under AFSL or wholesale-investor rules in Australia. Always check the rules for your profession and state.
Should referral fees be one-off or ongoing?
Both are common. A one-off referral fee is paid on the initial deal. An ongoing or trail referral fee is paid on each renewal, repeat deal, or related work the referred client generates. Trail arrangements are common in mortgage broking, financial planning, and insurance. In property and capital, follow-on deals from the same introducer often pay a reduced second-deal fee.
Do I need a written referral agreement?
Yes. Verbal arrangements are how disputes happen, and large-deal disputes are expensive. A simple written agreement covering the commission base, the referral percentage, what counts as a qualifying referral, payment timing, and any clawback for cancelled deals protects both parties.
Built by Socii Book Pty Ltd (ACN 695 597 141), the private network for dealmakers. The numbers above are the same math we run inside the platform.
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