Partnership Agreement Template for Agency Businesses (UK 2025)
Last updated: February 2025
Why Agency Businesses Need a Partnership Agreement
Agency partnership agreements govern collaborations between complementary agencies, such as creative and technical or strategy and execution, for joint pitches and project delivery. These must address profit sharing, client ownership, lead attribution, and the critical question of which agency owns the client relationship if the partnership dissolves. The agreement should also cover brand presentation, quality standards, and shared liability for deliverables.
Key Clauses for Agency
- Client ownership and relationship attribution rules
- Profit sharing model and financial transparency
- Joint pitch costs and win/loss cost allocation
- Quality standards and shared liability for deliverables
Common Mistakes
- Not defining which agency owns the client relationship and has the primary contractual position
- Failing to address how joint pitch costs are shared when the pitch is unsuccessful
Template Sections
- Client ownership and attribution framework
- Profit sharing and financial reporting
- Joint pitch process and cost allocation
FAQ
Which agency owns the client relationship in a partnership?
This must be explicitly agreed before any joint client work begins. Typically, the agency that introduced the client or holds the master service agreement owns the relationship. The agreement should specify who contracts directly with the client, who issues invoices, and who retains the client relationship if the partnership dissolves.
How should agency partnership agreements handle joint pitch costs?
Define cost sharing upfront, typically split proportionally to the expected revenue share. Include provisions for pitch costs when the pitch is unsuccessful, usually shared equally or by agreed ratio. Specify who pays for speculative creative work, credentials presentations, and travel, and the process for approving expenditure above agreed thresholds.
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Get Started FreeThis is guidance for UK businesses, not legal advice. Templates are illustrative. Consult a solicitor for complex matters.
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