# What is rebate period?

Source: https://launch-rec.com/glossary/rebate-period. Category: Commercials. Market: US and UK.

## 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.

## 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.

## Related terms

- https://launch-rec.com/glossary/perm-fee