What commission should a prop firm pay affiliates?

Quick answer

Affiliate commissions in the prop industry are usually a percentage of each sale, often somewhere in the 10% to 20% range, with higher tiers for top partners. Set yours from your own contribution per sale after expected payouts, payment fees and platform cost, not from what competitors advertise.

Detailed answer

How to set it:

  1. Contribution per sale before acquisition costs.
  2. Maximum acquisition cost you can afford.
  3. Commission rate that leaves a margin for error.
  4. Tiers: higher rates for volume, so your best partners are rewarded.

Watch for stacking: a large discount code plus commission can make a sale unprofitable. Pay commission only on settled sales, net of refunds and chargebacks.

Your platform cost per sale is part of step 1. On PropExecutor it is a fixed, prepaid credit per account, so the figure is the same for every sale and easy to include.

Worked example

A $200 challenge contributes $70 after expected payouts, fees and platform cost. A 15% commission ($30) leaves $40, enough for overheads and margin. A 30% commission ($60) leaves $10, which a single refund would wipe out.

Tiered rates

Higher rates for affiliates who send more, or better-retained, customers reward the partners worth keeping.

PropExecutor team · Updated

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