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A Finder's Fee Agreement sets out the terms for paying someone who helps connect you with valuable business opportunities, like new clients or potential deals. It's commonly used by NZ businesses to reward intermediaries, brokers, and consultants who make successful introductions, while staying compliant with the Financial Markets Conduct Act.

The agreement specifies key details like the fee amount (usually a percentage of the deal value), when payment becomes due, and what counts as a successful introduction. It protects both parties by clearly documenting their arrangement and helps prevent future disputes about who's entitled to compensation for bringing opportunities to the table.

Use a Finder's Fee Agreement when working with someone who can connect your business to valuable opportunities, like potential investors, acquisition targets, or major clients. This becomes especially important in NZ's financial and real estate sectors, where informal handshake deals can lead to costly disputes about who introduced what and deserves payment.

Put this agreement in place before any introductions happen - particularly when dealing with high-value transactions or ongoing relationships. Having clear terms about payment triggers, fee calculations, and introduction requirements helps maintain professional relationships and meets regulatory requirements under the Financial Markets Conduct Act and Fair Trading Act.

• Fixed Fee Agreements: Set a specific dollar amount for successful introductions, commonly used for one-off property or business sales
• Percentage-Based Agreements: Calculate fees as a portion of the final transaction value, typical in investment deals
• Tiered Commission Structures: Offer varying rates based on deal size or complexity, popular in merger and acquisition introductions
• Success-Fee Only: Payment triggered solely upon deal completion, common in capital raising scenarios
• Retainer Plus Success Fee: Combines monthly payments with transaction-based bonuses, used for ongoing introduction services

• Business Owners: Companies or individuals seeking new opportunities who agree to pay fees for valuable introductions
• Business Brokers: Professional intermediaries who connect buyers and sellers of businesses for a fee
• Investment Advisers: Licensed professionals who facilitate introductions to investment opportunities under FMC Act requirements
• Real Estate Agents: Property specialists connecting buyers with off-market opportunities
• Legal Advisers: Lawyers who draft and review agreements to ensure compliance with NZ regulations and protect all parties' interests

• Party Details: Gather full legal names, addresses, and business registration numbers of both the finder and the company
• Fee Structure: Define exact payment terms, including amounts or percentages, and what constitutes a successful introduction
• Transaction Scope: Specify which types of deals or introductions qualify for payment under the agreement
• Payment Triggers: Clearly outline when fees become payable and any conditions that must be met
• Compliance Check: Ensure alignment with NZ's Financial Markets Conduct Act and Fair Trading Act requirements
• Time Limits: Set clear deadlines for introductions and how long the finder's rights last after making them

• Parties Section: Complete legal names and addresses of both the finder and the company paying the fee
• Services Description: Clear definition of what constitutes a qualified introduction or opportunity
• Fee Structure: Detailed breakdown of payment amounts, calculation methods, and payment timing
• Success Criteria: Specific conditions that trigger fee payment obligations
• Term and Duration: Agreement start date and length, including any trailing period for introductions
• Confidentiality: Protection of sensitive business information shared during introductions
• Governing Law: Explicit reference to New Zealand law and jurisdiction for dispute resolution

A Finder's Fee Agreement differs significantly from a Broker Agreement in several key aspects, though both involve intermediary services. Understanding these differences helps you choose the right agreement for your situation and ensure proper legal protection under New Zealand law.

• Scope of Services: Finder's agreements cover only the introduction of opportunities, while broker agreements include detailed ongoing services like negotiation, due diligence, and transaction management
• Legal Obligations: Brokers have fiduciary duties and must be licensed for certain activities under NZ regulations; finders typically have no ongoing obligations beyond the introduction
• Fee Structure: Finder's fees are usually one-time payments for successful introductions, whereas broker fees often include retainers, success fees, and transaction-based commissions
• Liability Exposure: Brokers assume greater liability for transaction outcomes and advice given; finders generally have limited liability once the introduction is made