Beginner

RevShare: Revenue Share

Also known as: RevShare, Revenue Sharing, Rev-Share, Lifetime Revenue Share

What is RevShare: Revenue Share?

Revenue Share is a partnership model in which an affiliate or Introducing Broker (IB) earns an ongoing percentage of the revenue a broker generates from their referred clients. That revenue may come from spreads, commissions, swaps, or, on a B-Book, client trading losses. The percentage is paid for as long as the client remains active.

Unlike a one-time acquisition bounty, RevShare compensates you on client behaviour over time. A typical retail forex deal sits between 20% and 40% of net revenue, though established IBs negotiate 50% or higher. "Net" is the key word: brokers usually deduct chargebacks, bonuses, and processing costs before your share is calculated.

Key takeaways
  • Ongoing % of net client revenue, not a one-time bounty
  • Retail forex deals typically 20%-40%, negotiable to 50%+
  • "Net" means after bonuses, fees, and chargebacks
  • A-Book rewards volume; B-Book couples pay to client losses
  • Compounds over years but swings with live client activity

Assume a broker earns $1,000 in gross revenue from your referred client in a month and you hold a 30% RevShare. You are paid $300 for that single client that month, and you keep earning as long as they trade. Layer 100 active clients averaging $80 net revenue each at 30%, and your monthly baseline is roughly $2,400 before you acquire anyone new.

Because payment continues indefinitely, RevShare turns a marketing effort into a compounding book of business. The trade-off is patience and volatility: earnings track live client activity, so a quiet market month or a wave of churn lowers your cheque directly.

How it works

The broker attributes every referred client to your tracking link or partner code, then meters the revenue each client produces. Revenue events include the spread or commission on every trade, overnight swap charges, and, under a B-Book (market-maker) arrangement, the net loss a client realises.

At the end of each cycle the broker calculates net revenue per client, applies your agreed percentage, and posts the accrual to your partner dashboard. Most brokers pay monthly, apply a minimum-withdrawal threshold, and reserve the right to claw back revenue tied to fraud, refunds, or bonus abuse.

Whether the deal is A-Book (you share commission and spread on hedged volume) or B-Book (you share the desk's net win/loss) changes your incentives entirely. On A-Book you want frequent, high-volume traders; on B-Book your income is coupled to client losses, which raises real conflict-of-interest and compliance questions you must disclose honestly.

  1. Negotiate the percentage and basis

    Agree a net-revenue percentage and confirm in writing whether it is A-Book, B-Book, or hybrid, plus how bonuses and chargebacks are deducted.

  2. Deploy tracked links

    Publish your unique referral link or partner code so every sign-up is attributed to your account for the client's lifetime.

  3. Client trades and generates revenue

    Each spread, commission, swap, or realised loss on the referred account becomes a metered revenue event.

  4. Broker calculates net revenue

    Gross revenue minus bonuses, processing fees, and chargebacks yields the net figure your percentage applies to.

  5. Accrue and withdraw

    Your share posts to the partner dashboard, usually monthly, and pays out once you clear the minimum threshold.

Why it matters for partnership: RevShare turns referrals into a compounding, recurring-income book rather than a one-off payout. As your active client base grows year over year, your monthly baseline rises with it, and retention work protects the asset you already built.

Formula
Monthly RevShare = Net Revenue per Client × RevShare % × Active Referred Clients
Real World Example

An IB on IC Markets' partner program holds a 30% revenue share. One referred client trades 40 standard lots a month on Raw Spread, generating about $280 in commission revenue for the broker. The IB earns roughly $84 from that single client, and continues earning every month the client stays active, without spending anything more to acquire them.

Revenue Share vs CPA
Factor Revenue Share CPA
Payout timing Recurring, monthly for client lifetime One-time on qualifying deposit
Upside Compounds as book grows Fixed per acquisition
Cash-flow speed Slow to build, steady later Fast, front-loaded
Best client Long-term active trader Any qualifying depositor
Risk Earnings fall with churn No downside after payment

Pro Tip

If you plan to stay in the affiliate business beyond two years, model RevShare against CPA on realistic retention curves; RevShare usually wins once your book compounds.

Common Pitfalls

Signing a RevShare deal without confirming whether it is A-Book (volume) or B-Book (client losses) leaves you marketing blind and exposed to undisclosed conflict-of-interest risk.

FAQ

How much is a typical revenue share percentage?

In retail forex, deals commonly range from 20% to 40% of net client revenue, with high-volume IBs negotiating 50% or more.

Does revenue share pay forever?

It pays for as long as the referred client stays active and generates revenue; most programs offer lifetime attribution, but check the contract for expiry or inactivity clauses.

Is revenue share better than CPA?

Neither is universally better. CPA gives fast, fixed cash per acquisition, while RevShare compounds over a long horizon if your clients are retained.

What does 'net revenue' mean in a RevShare deal?

It is gross revenue from the client minus deductions the broker specifies, typically bonuses, processing fees, and chargebacks, before your percentage is applied.

Can I combine revenue share with CPA?

Yes. Many brokers offer hybrid deals with a smaller upfront CPA plus a reduced ongoing RevShare, balancing cash flow against long-term upside.

Do I earn if my referred client loses money on a B-Book?

On a B-Book arrangement your share can be tied to client losses, which creates a conflict of interest you should disclose to clients and handle within regulatory rules.

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