A partnership agreement is the legally-binding business contract that defines the responsibilities and expectations between a vendor and their partner. It's important for clearly defining the roles of the partner, how the partnership will work and how profits are split and paid out. It can also include terms to safeguard against disputes or outline how the partnership agreement can be dissolved by each party.

Partnership agreements are an important step for program success that will set appropriate expectations for channel partners and vendors. Agreements should be updated when the terms of a partnership change, like if a partnership program expands to include a new opportunity.

Once partner agreements are in place, learn how to activate partners with our comprehensive guide to partner activation for ecosystem success.