Referral Agreement
Review and sign the referral agreement before submitting deals. Compensation, clawbacks, prospect protection.
Quick answer: A commercial finance referral program lets brokers, vendors, CPAs, and advisors refer business financing opportunities in exchange for revenue share when deals close. Participants sign a referral agreement and can send declined or hard-to-place deals for second look review.
Last updated: March 2025
Referral Program Hub
Commercial Finance Referral Program Overview
Commercial finance referral programs allow professionals who encounter business owners needing funding to monetize those opportunities. Brokers, vendors, CPAs, consultants, and advisors can refer deals in exchange for revenue share when financing closes. This overview explains how these programs work and who can participate.
Referral submissions should follow agreement review and signature.
- 35% revenue share on successful placements
- Broader credit standards than many lenders
- Deals from $10K to $5M+ depending on structure
Table of Contents
Introduction
What Is a Commercial Finance Referral Program?
A commercial finance referral program is a structured arrangement where professionals refer business financing opportunities to a financing firm in exchange for revenue share or commission when deals close. These programs exist across the commercial lending ecosystem and allow professionals who already work with business owners to monetize financing opportunities without becoming lenders themselves.
Referral programs are governed by a referral agreement that defines compensation, referral ownership, and process. Participants in the commercial lending ISO program and other referral partners can send declined business loans for review. The program creates a formal channel for declined deals and hard-to-place files that might otherwise go nowhere.
Why This Matters
Why Commercial Finance Referral Programs Matter
Many professionals encounter business owners who need funding but don't know where to send them. A CPA's client needs equipment financing. A consultant's client was declined by a bank. A vendor's buyer can't get approved through standard programs. Without a referral program, these opportunities either go cold or require the professional to hunt for a lender with no guarantee of success.
Referral programs solve this by providing a formal, structured path. The professional refers the opportunity; the financing firm evaluates it, matches it to appropriate lenders, and keeps the referrer informed. When a deal closes, the referrer may earn revenue share. The client gets options; the professional preserves the relationship and monetizes the introduction. For declined deals and exposure-capped situations, referral programs create second-look opportunities that protect both the client and the referrer's reputation.
Common Scenarios
Common Scenarios Where Referral Programs Help
- Borrower declined by a bank or credit union
- Equipment buyer needs financing to complete a purchase
- Client needs working capital but doesn't fit traditional lender box
- Broker has a file that doesn't fit current lender lineup
- Lender exposure is capped
- CPA's client needs funding for expansion
- Consultant's client was declined elsewhere
- Vendor's customer has lower credit than standard programs allow
- Professional wants to preserve relationship instead of saying no
How It Works
How Commercial Finance Referral Programs Work
Referral programs typically follow a consistent process. First, the referrer reviews and signs the referral agreement. This document defines compensation (often revenue share on funded transactions), payment timing, clawback provisions, and prospect protection. Once signed, the referrer can submit deals for review.
The financing firm evaluates each opportunity, matches it to appropriate funding sources, and keeps the referrer informed. When a transaction successfully funds and the firm receives compensation, the referrer may receive their revenue share per the agreement. Compensation is based on successful placements—not introductions alone. Different programs have different terms; referrers should read the full agreement before signing.
1
Review and sign the agreement
Review the referral agreement and sign before submitting any deals.
2
Send the deal
Share basic borrower and request details by emailing us.
3
We review the opportunity
Our team evaluates the situation and identifies what may be possible.
4
We look for possible fits
We assess funding paths based on structure, urgency, and profile.
5
The client receives options if available
If there is a fit, the client can review next steps with clarity.
Practical Examples
Practical Examples of Referral Program Use
Example 1: An equipment vendor has a buyer who needs $80,000 for machinery. The buyer's credit is 560. The vendor's standard financing program requires 650+. The vendor refers the deal through the referral program. The financing firm matches it to a lender with broader credit standards. The deal closes; the vendor receives revenue share.
Example 2: A CPA's client needs $150,000 for working capital. The client was declined by two banks. The CPA refers the deal through the referral program. The financing firm presents it to alternative lenders. The client receives options; the CPA preserves the relationship and may earn revenue share if the deal funds.
Example 3: A broker has a commercial real estate deal declined for structure. The broker refers it through the referral program. The financing firm identifies lenders with different guidelines. The deal may close; the broker earns revenue share per the agreement.
When Used
When Referral Programs Are Used
Referral programs are used whenever a professional encounters a business owner who needs financing and the deal doesn't fit the professional's usual channels. This includes declined bank loans, lower-credit borrowers, exposure-capped situations, structure mismatches, and deals that need a second look. Programs are also used when professionals want to offer clients financing options without investing in lender relationships or internal underwriting.
Many professionals maintain a referral program relationship specifically for declined deals and hard-to-place files. The program becomes a safety valve: when the primary path doesn't work, the professional has another option. This reduces dead ends, protects client relationships, and creates additional revenue opportunities.
How Axiant Reviews
How Axiant Reviews Referral Program Deals
Axiant Partners reviews each referred deal on its merits. We evaluate structure, urgency, credit profile, revenue, time in business, and collateral. We match deals to appropriate funding sources across our lender network. We keep referrers informed throughout the process so the client experience reflects well on the referrer's brand.
Referral partners must review and sign the referral agreement before submitting deals. We work with referral partners, participants in our commercial lending ISO program, and professionals who send declined business loans. Deals are reviewed; placement depends on lender fit. Approval is not guaranteed. When a deal closes and we receive compensation, partners receive 35% revenue share per the agreement.
Related Articles and Guides
Deeper guides and resources. Each link includes a brief summary.
Commercial Lending Referral Fees
How referral fees and revenue share work in commercial lending. 35% revenue share.
Can Vendors Get Paid for Referring Financing?
Vendor referral programs. Revenue share when referred deals close.
Referral Agreements Explained
What referral agreements cover. Compensation, non-circumvention, prospect protection.
Commercial Lending ISO Program
ISO program for brokers and referral partners. Broader credit standards.
Send Declined Business Loans
How to submit declined and exposure-capped deals for review. Signed referral agreement required.
How CPAs Refer Financing
CPA referral process. How advisors refer clients while staying compliant.
How Consultants Monetize Client Relationships
Consultants and referral income. Monetizing client financing needs.
Vendor Financing Referral Program
Vendor referral programs. Equipment vendors and financing partners.
Non-Circumvention Referral Agreements
Non-circumvention clauses. Prospect protection in referral agreements.
Understanding Clawbacks in Referral Agreements
Clawback provisions. When referral fees may be clawed back.
FAQ
Questions about commercial finance referral programs
What is a commercial finance referral program?
A commercial finance referral program is a structured arrangement where professionals refer business financing opportunities to a financing firm in exchange for revenue share or commission when deals close. Participants include brokers, vendors, CPAs, consultants, and others who encounter business owners needing funding.
Who can participate in a commercial finance referral program?
Referral programs typically accept brokers, equipment vendors, vendor sales reps, CPAs, fractional CFOs, business consultants, lenders with declined files, MCA shops, and other professionals who encounter business owners needing funding. You do not need to be a licensed broker.
How does revenue share work in referral programs?
Revenue share varies by program. Some programs offer 35% revenue share on funded transactions. Compensation is based on successful placements—not introductions alone. Payment is typically issued within 30 days of receipt of funds. Partners should review the referral agreement for specific terms.
Can I refer declined deals through a referral program?
Yes. Many commercial finance referral programs accept declined or hard-to-place deals. Referral partners can send deals that don't fit their current lender box for a second look. Deals are reviewed and may be matched with appropriate funding sources when possible.
Do I need to sign an agreement before referring?
Yes. Referral partners must review and sign the referral agreement before submitting any deals. The agreement defines compensation, protects both parties, and establishes the process. Deals cannot be submitted until the agreement is signed.
What types of financing can be referred?
Referral programs typically accept equipment financing, working capital, business term loans, lines of credit, SBA-related financing, accounts receivable financing, revenue-based financing, commercial real estate, bridge loans, and business acquisition financing. Eligibility depends on the program and lender network.
Key Takeaways
Summary
- Commercial finance referral programs let brokers, vendors, CPAs, and advisors refer financing opportunities in exchange for revenue share when deals close.
- Participants must sign a referral agreement before submitting deals. Compensation is based on successful placements—not introductions alone.
- Referral programs accept declined and hard-to-place deals. Second look lenders may have broader credit standards.
- Common scenarios: bank-declined borrowers, equipment buyers who don't fit in-house programs, exposure-capped situations.
- Approval is not guaranteed—each deal is evaluated on its merits.
Ready to participate?
Review the referral agreement and send deals
If you encounter business owners who need funding, review the referral agreement, sign it, and send deals for review.
Referral submissions should follow agreement review and signature.