Glossary · Commercials

What is Rebate period 

Definition

The window after a permanent placement in which you refund part of the fee if the hire leaves, commonly tapering over eight to twelve weeks.

Applies to: US and UK · Reviewed by James Doyle

In practice

Rebates are a real liability, not a formality. A 100% eight-week rebate on a $25,000 fee is $25,000 of revenue that is not yours until week nine.

Some agencies offer a free-replacement clause instead of cash rebates. Clients accept it more often than founders expect.

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