Preparing a good agents contract is often a challenging task. This is especially true if you are going to work with agents for the first time. But don’t worry! We are here to help!
Here is a quick checklist for the most important things you need to include before handing the contract to your chosen agent:
If the agreement is to work on a commission basis plus retainer, the agent has to be clear on three things:
- the minimum and maximum quotas
- when the payments are going to be transferred
The general rule is to create a standard procedure which would let both parties know when exactly the payment has to be done.
Duration and expiration dates
You need to include in the document the start date and the end of the contract. You also need to include the conditions for re-negotiation and conditions for a possible extension of the partnership.
Term sheet, results and accountability
We advise to provide a timeline to showcase the results. For example, the agent has to bring 20 new students from X in the first quarter of the year, then 30 in the second quarter, etc. For each target you need to include penalties for delays or other clear consequences for not keeping up with the agreement.
Agency fees and other financial transactions
The contract should state if the your institution or the student is responsible for the agency fees. Remember that only one side should be paying the agency for the service, and not both. In addition, the contract should also include information about paying the tuition. In most cases, the student pays the tuition fee directly to the institution, not through the agency.
Rewards for excellent service
You should always reward timely, transparent and professional behaviour. It doesn’t necessarily have to be in the form of financial reward – you can be creative here. A good example is an extension of the contract.
Space for improvement
Ideally, you should discuss the contract thoroughly in advance. Once you have all the information in place, there should be no additions. And yet, sometimes it is necessary to make a change. So, remember to include conditions for updating the contract and adapting it to the rapidly improving needs of international students.
This checklist was prepared referencing information in the American International Recruitment Council report.