Refer a friend

The reward

You choose one of two options for each referral that becomes a project:

Terms, in plain language

What “net profit” means

The reward is a share of net profit, not of the project’s price. Net profit is what Calico Designs and Renovations has left from your friend’s project after paying the costs of doing it.

We work it out like this:

1. Start with the total your friend paid for the project, before HST.
2. Subtract the direct costs of that project: materials, trades and labour, permits, design and engineering, equipment, delivery, and disposal.
3. What remains is the net profit. Your reward is 10% of it in cash, or 15% of it as credit.

An example with made-up numbers: if a project’s price before HST were $50,000 and its direct costs were $40,000, the net profit would be $10,000. The cash reward would be $1,000, or the credit would be $1,500. Real projects vary, and the profit on a project is not known until it is finished.

Only the direct costs of your friend’s project are subtracted. Our general business overhead, such as office and vehicle costs, is not.

When the reward is earned

The reward is earned once your friend’s project is completed and paid in full, because net profit is not known before then. We will tell you the amount and ask which option you want. A cash reward is paid, or credit is added to your account, within 30 days of that date.

Expiry

Referral credit does not expire. Use it toward a future project of your own whenever you are ready.

TODO: owner to confirm whether a referral itself lapses if the friend does not start a project within a set time.

The fine print

• The programme is for past clients of Calico Designs and Renovations.
• Your friend must be a new client and must have agreed to be contacted before you send their details.
• A reward is paid only if the referred project is signed, completed, and paid in full.
• One reward per referred project. You can refer as many people as you like.
• Credit applies to a future project of your own with us, does not expire, and has no cash value.
• A cash reward may be taxable income. Ask your own tax adviser.
• We may change or end the programme for future referrals. Referrals already sent keep the terms they were sent under.

TODO: the fine print above is a draft for the owner to confirm or change. The cash option should be reviewed by the owner’s accountant (tax treatment and reporting) before launch.