B2B Referral Program Plan
- Company: [Company name]
- Program name: [Program name, for example Company Referral Program]
- Program owner: [Name and role]
- Launch date: [Date]
- Plan last updated: [Date]
Fill in every blank in square brackets. Values in brackets are examples to replace with your own. Items marked (Partners) apply only to partners; delete them if only customers will refer.
1. Program summary
What the program is for: [One sentence, for example: to win new customers through warm introductions from our customers and from agencies and consultants who advise our buyers.]
Goal for the first 12 months:
| Measure | Target |
|---|
| Active referrers | [25] |
| Referrals submitted | [80] |
| Referrals accepted | [60] |
| New customers won from referrals | [18] |
| First-year revenue from referred customers | [$216,000] |
| Average reward cost per referred customer | [$2,000] |
Budget for rewards: [$36,000] for the year, reviewed every quarter.
2. Who can refer
| Referrer type | Who qualifies | How they join |
|---|
| Customers | [Any user at a paying customer in good standing] | [Accept the program terms when submitting a first referral] |
| Partners | [Agencies, consultants and advisors who work with our target buyers] | [Apply, be approved, sign the referral partner agreement] |
Not eligible: [Our employees and contractors, their immediate family, and anyone who would breach their own employer's gift or conflict of interest policy by accepting a reward.]
3. What counts as a qualified referral
A referral qualifies for a reward when all of these are true:
- The company is not a current customer and was not a customer in the last [12] months.
- The company is not in an open opportunity in our CRM created before the referral was submitted.
- The company fits our target profile: [for example, 50 to 1,000 employees, based in the US or Canada, with a team that uses a partner or referral channel].
- The referral names a contact who knows the referrer and expects to hear from us.
- The referral was submitted through the official form before the prospect contacted us directly.
- We accepted the referral in writing.
Not a referral: lists of names, cold contacts, companies the referrer found online, or the referrer's own company.
4. Rewards
| Referral type | Reward | When earned | Example |
|---|
| Customer referral, new customer won | [$1,000 account credit, gift card or donation] | [After the new customer's first payment clears] | [$1,000 credit on a $12,000 deal] |
| Partner referral, new customer won | [20% of first-year net revenue collected] | [After each payment clears, for the first 12 months] | [$2,400 on a $12,000 deal] |
| Partner referral, deal above [$50,000] first year | [15% of first-year net revenue collected] | [As above] | [$9,000 on a $60,000 deal] |
| Accepted referral that does not close | [No reward] | [Not applicable] | [Not applicable] |
| Expansion or renewal of a referred customer | [No reward after month 12] | [Not applicable] | [Not applicable] |
Net revenue means subscription fees we actually collect, excluding taxes, refunds, credits, setup and services fees.
5. Payment terms
- Calculated: [Monthly], on revenue collected in the previous month.
- Paid: within [30] days after the end of the month in which we collect the related revenue.
- Method: [Bank transfer or Stripe for partners. Account credit or gift card for customers.]
- Currency: [US dollars]
- Statement: each payment comes with a statement listing each referred customer and the amount.
- Minimum payout: [$100]. Smaller amounts roll over to the next period.
- Refunds: if we refund or credit revenue a reward was paid on, we deduct that reward from the next payment.
- Tax forms: (Partners) US partners provide a Form W-9 before the first payment. Non-US partners provide a Form W-8BEN or W-8BEN-E.
6. Protection period and conflict rule
- Protection period: [90] days from the date we accept the referral. If the referred company signs within that time, the referrer earns the reward.
- Extension: one extension of [30] days if the deal is actively progressing, for example a proposal has been sent.
- Two referrers, one company: the first complete submission we accept wins. We tell the second referrer the same day.
- Our sales team: the referral is declined only if the company was already in an open opportunity created before the submission. We show the referrer the date of that opportunity on request.
- Disputes: raised with [Program owner] within [30] days of a decision. [Head of sales or CEO] makes the final decision.
7. How to submit a referral
- Where: [Referral form URL or partner portal]
- What we ask for: company name, contact name, contact email, how the referrer knows them, and anything we should know before reaching out.
- Before submitting: the referrer tells the contact to expect an email from [Name or team].
- Who receives it: [Program owner], who routes accepted referrals to [Sales team or named rep].
8. Response time promise
| Step | Our promise |
|---|
| Confirmation that the referral arrived | [Same business day, automatically] |
| Accept or decline, with a reason | [Within 2 business days] |
| First contact with the prospect | [Within 2 business days of acceptance] |
| Update to the referrer | [After the first meeting, and when the deal is won or lost] |
| Reward paid | [Within 30 days after the end of the month the revenue is collected] |
9. Communications plan
Launch email
Sent by [Program owner] to the first [10] referrers on [Date], personally, not as a newsletter.
Subject: [A small favor, and a thank-you]
Hi [First name],
We are starting a referral program for the [customers and partners] who already know our work best, and I wanted you to hear about it from me first.
If you introduce a company that becomes a customer, you earn [reward]. Submitting a referral takes two minutes at [form URL], and we reply to every one within [2] business days.
Would you have 20 minutes this week for me to walk you through it? And is there one company you think we should be talking to?
[Your name], [Your title] at [Your company]
Monthly update
Sent on the [first Tuesday] of each month to every active referrer, covering:
- the status of each of their referrals;
- rewards earned, approved and paid since the last update;
- one short customer story or product update they can share;
- the type of company we most want introductions to this month.
Other touchpoints
- Thank-you note: [within 1 business day of a won deal], from [Program owner or the account executive].
- Quarterly call: (Partners) a 30-minute review with each partner who sent at least one referral.
- Program page: [URL on our website] with how it works and the program terms.
10. Tracking fields
| Field | Example | Owner |
|---|
| Referral ID | [R-0001] | [Automatic] |
| Date submitted | [March 3] | [Automatic] |
| Referrer name and company | [Referrer name, Brightline Agency] | [Referrer] |
| Referrer type | [Partner] | [Program owner] |
| Prospect company | [Hawk Digital] | [Referrer] |
| Prospect contact and email | [Contact name and email] | [Referrer] |
| Status | [Submitted, Accepted, Declined, Won, Lost] | [Program owner] |
| Decision date | [March 5] | [Program owner] |
| Decline reason | [Existing customer, Open opportunity, Outside profile] | [Program owner] |
| Protection period end | [June 3] | [Automatic] |
| Assigned rep | [Rep name] | [Sales lead] |
| Deal value, first year | [$12,000] | [Rep] |
| Close date | [May 20] | [Rep] |
| Reward owed | [$2,400] | [Finance] |
| Reward paid date | [July 15] | [Finance] |
Metrics to review monthly: referrals submitted, acceptance rate, average days to decision, win rate on accepted referrals, first-year revenue from referrals, reward cost per referred customer, and active referrers (at least one referral in the last 90 days).
11. Launch checklist
Decisions
Paperwork
Process and tracking
Launch
12. Program terms
Publish this section on your program page and show it to referrers when they submit. Have a lawyer review it before use. Partners who earn cash fees also sign a referral partner agreement, which takes precedence over these terms.
[Program name] terms
- Who can take part. [Paying customers in good standing and approved partners.] Our employees and their families cannot take part.
- What counts. A referral qualifies if it is a new company that fits our target profile, is not a current customer or in an open opportunity with us, names a contact who expects to hear from us, and is accepted by us in writing.
- Rewards. For each qualified referral that becomes a paying customer within [90] days of acceptance, you earn [reward]. Rewards are earned only after the customer's payment clears.
- Payment. We pay rewards within [30] days after the end of the month in which we collect payment. If the customer is refunded, the reward may be deducted from a later payment.
- Duplicates. If two people refer the same company, the first complete referral we accept qualifies.
- Your employer's rules. You are responsible for checking that your employer allows you to accept a reward. You can ask us to apply it as an account credit or donation instead.
- Taxes. You are responsible for any taxes on rewards. We may ask for tax information before paying.
- Conduct. Describe us accurately, do not send unsolicited bulk messages, and do not bid on our brand in paid search.
- Changes. We may change or end the program with [30] days' notice. Referrals accepted before a change keep the terms they were accepted under.
- Questions. Contact [Program owner email].
