Small business owners do not have big budget for marketing or operations. Advertising is very costly and not always effective. The reason is simple; you are new to the customers. It will take them some time to know you before they have the confidence on your services. Depending on your business, you may have to incur high overheads. If that is the case, your savings may not last before your resouces run out. Member to member referral can be a very effective solution. By referring businesses to each other, we can cut down the high cost of advertisement and the time to get to the new customers. The successful rate of making a deal is greatly improved as your customer may have a good faith on your products or services as their friend may have already done the screening for them. We are all busy on our own business. A quick referral can help the buyers cut down a lot of timely research for a qualified supplier, you.

Many businesses are paid by in the form of commission. For example, realtors, importers or exporters, stock brokers, commodity traders, etc. Commission, sometimes, can be greatly rewarded when a business deal is done. It is totally legal to give commission to someone who brings in business to you. Commission can reduce your selling costs as well as the time to complete a business deal. Therefore it is fair to pay a percentage of commission who brings business to you. It is also an incentive way to encourage other members to bring business to you. Of course, we need top report any commission income to the government.

VBNF encourages members to pay a commission or finder’s fee to the members who bring business to the table. Commission should be paid when a business deal is complete. The rate of the commission is totally at the discretion of both parties.