In a revenue share (or "revshare") IB program, the broker pays you an agreed percentage of the revenue it earns from your referred clients, usually monthly and for as long as they trade.
What counts as revenue?
The definition is the most important part of the deal. Depending on the program, revenue can include:
- Spread income: the difference between the buy and sell price.
- Commissions charged on raw or ECN accounts.
- Swap or overnight financing charges.
- Sometimes other fees, such as inactivity fees.
Gross vs net revenue
Some programs pay on gross revenue. Others pay on net revenue after deducting costs such as payment processing fees, bonuses given to clients, liquidity costs or chargebacks. Net revenue share percentages can look high but pay less than a lower gross percentage.
Example: your clients generate $10,000 gross revenue in a month. Deal A pays 25% of gross: $2,500. Deal B pays 40% of net, where net is $5,000 after costs: $2,000. The higher percentage pays less.
Negative carry-forward
Some brokers that run their own risk (often called "B-book") calculate revenue partly on client losses, which means a month where clients win can produce negative revenue. Ask whether negative months are carried forward against your future earnings, and for how long. A deal without carry-forward is simpler and fairer for you.
When revenue share makes sense
- You have loyal clients who trade for years, such as academy students.
- You want income that grows with your client base rather than one-off payments.
- You trust the broker's reporting and can see client-level revenue.
Questions to ask the broker
- Exactly which income counts as revenue?
- Is the percentage on gross or net, and what is deducted?
- Are negative balances carried forward? For how long?
- Can I see revenue per client in the portal?
- Does the percentage rise with volume or client numbers?
- Do I keep earning from my clients if the agreement ends?
Frequently asked questions
What is a good revenue share percentage?
The percentage alone doesn't tell you. A lower share of gross revenue can pay more than a higher share of net. Compare using your clients' expected activity.
Is revenue share better than rebates?
Not always. Rebates are easier to check because they are tied to lots traded. Revenue share depends on the broker's revenue definition and reporting.
Compare IB programs on IB2broker
Free for Introducing Brokers. Licence-checked brokers, real terms side by side, and your details private until you choose.
Join free as an IB I'm a broker