11 {{ upvoteCount | shortNum }}
11 {{ upvoteCount | shortNum }}

Are Affiliate Marketers Going To Loose Their Business?

by jmorris18
9 replies
I just wanted to share with each of you what I received today from a particular merchant. It sounds as if Affiliates in Virginia, New York, Rhode Island , North Carolina are on the urge of loosing their affiliate business. Is this the beginning to the end of affiliate commissions?

What other merchants and states will decide to move forward with this action? How can we protect ourselves from losing a business it has taken years to build?


Dear Drs. Foster and Smith Affiliate:

Here at Drs. Foster and Smith, we truly value the affiliate relationship with each and every publisher, as well as the dedication you have provided the program. Unfortunately, at this time we regret to inform you that we have chosen to remove all Virginia affiliates due to business reasons connected to the pending bill SB 660. Currently, this law is in effect in New York, Rhode Island, and North Carolina. The removal of all Virginia affiliates will be effective immediately as of February 17th, 2010.

Again, we appreciate and value your efforts to date and hope that we may again be able to resume the productive business relationships which we have enjoyed with you. We appreciate your understanding in the sudden decision of this matter and wish you the best.

Regards,
The Drs. Foster and Smith Affiliate Team
#affiliate #beginning #business #commissions #end #merchants #publishers
  • Profile picture of the author bigdaddy99
    Link to SB 660

    LIS > Bill Tracking > SB660 > 2010 session

    Summary as introduced:
    Dealer registration for sales and use taxes; sufficient contact. Provides that a dealer is presumed to be soliciting or transacting business in Virginia by an independent contractor, agent, or other representative if the dealer enters into an agreement with a resident of Virginia under which the resident, for a commission or other consideration, refers potential customers to the dealer if the cumulative gross receipts from sales by the dealer to purchasers in Virginia who are referred to the dealer by all residents with this type of agreement with the dealer are in excess of $10,000 during the preceding four quarterly periods. Such dealer presumed to be soliciting or transacting business in Virginia would be required to register for retail sales and use tax purposes.

    Doesn't really explain why they would remove Virginia affiliates before the bill passes though.

    bd99
    {{ DiscussionBoard.errors[1765263].message }}
    • Profile picture of the author JennSpencerIM
      Yikes! I live in NC and receive affiliate commissions...I've never known about this at all! I wonder how the companies can pay me as an affiliate then?? Thanks for bringing it to my attention.
      {{ DiscussionBoard.errors[1765315].message }}
  • Profile picture of the author jmorris18
    Hi Jenn ,
    yes , it sounds to be very a concerning time for affiliates. I know there are marketers that are making a very nice monthly income from merchants. Just think if they were making a four figure income from a particular merchant and they got an e-mail saying they would no longer be affiliated with them because of the state they live in. Very concerning indeed. I am so lucky this was not a huge loss to me... However, if I was making that 3,4 or 5 figure income from this merchant I would be extremely upset.

    With this law in effect with NC - I glad to hear that you have not been affected.
    Signature

    Jason Morris

    {{ DiscussionBoard.errors[1765386].message }}
  • Profile picture of the author Emily Meeks
    I'm not a lawyer, but it sounds to me like physical products would mostly be affected, I don't see how digital goods can be taxed...
    Signature

    In all that you do, know your True INTENT...

    {{ DiscussionBoard.errors[1765980].message }}
    • Profile picture of the author JustVisiting
      Originally Posted by moneysoapbox View Post

      I'm not a lawyer, but it sounds to me like physical products would mostly be affected, I don't see how digital goods can be taxed...
      Digital goods can be taxed and they are taxed. Tax is usually paid where customer downloads product.
      Signature
      "...If at first you don't succeed; call it Version 1.0"
      {{ DiscussionBoard.errors[1765998].message }}
  • Profile picture of the author Quentin
    I thought no one was going to spam after the last laws but still getting those email re viagra etc.

    Quentin
    Signature
    {{ DiscussionBoard.errors[1766134].message }}
    • Profile picture of the author Kevin Riley
      Maybe you should reword the subject line: Are US-Based Affiliate Marketers Going To Lose Their Business?

      Which brings me to wonder, is there no way for US-based affiliates to register offshore and collect their commissions there? Worth looking into.
      Signature
      Kevin Riley, long-time Warrior living in Osaka, Japan

      {{ DiscussionBoard.errors[1766186].message }}
      • Profile picture of the author jaiganeshv
        Originally Posted by Kevin Riley View Post

        Maybe you should reword the subject line: Are US-Based Affiliate Marketers Going To Lose Their Business?

        Which brings me to wonder, is there no way for US-based affiliates to register offshore and collect their commissions there? Worth looking into.
        Good one Kevin... this is one thing thats not been happening until now....
        Signature
        Qilio.com - Social Media Swiss Army Knife
        {{ DiscussionBoard.errors[1766252].message }}
  • Profile picture of the author DrGUID
    The US government just doesn't get it, does it? It's over. Business is moving East. People with money will follow.
    Signature

    Love passive income? Make money on hubpages. Make money from ClickBank. Preserve your new wealth by investing in gold.

    {{ DiscussionBoard.errors[1766209].message }}

Trending Topics