Question
We are a SaaS company and want to make a contract with resellers, anyone knows what conditions are usually used?
For example how much reseller takes and for how long? Do they have to commit to do a number of sales?
Answer
I run CloudChoice we resell for Freshdesk. I agree with both Chris and Mike. Given the SaaS licensing model, you typically setup a recurring commission. It varies from (10% - 35%). The percentage can vary depending on the expertise of the reseller. If the reseller can handle product demo, provide first line support and on-board clients.
You will have to create other revenue opportunities like implementation/training for the reseller as the recurring revenue in the SaaS world is not significant. Hope this helps, give me a call if you need further assistance.
