• How do HubSpot Partners make money?

Written by Tobias M. Pasma


How do HubSpot Partners make money?


  • Last updated: 9 August 2019

There are a few different ways in which a HubSpot partner can make money.

First of all, a HubSpot Partner makes money from actually selling HubSpot. Secondly, HubSpot Partners make money from delivering services closely aligned with using HubSpot.

In this article, we’ll just look at the first one: making money from selling HubSpot. It's good to know that there are two different ways to go about this: HubSpot Agency Partners and HubSpot Sales Partners.

 

HubSpot Agency Partners

The first and most familiar one is HubSpot Agency Partner. HubSpot Agency Partners are marketing agencies, inbound sales agencies, and/or agencies that implement HubSpot and deliver services around using HubSpot to their clients.

An agency will have to apply and qualify before it can become a HubSpot Agency Partner. They have to buy a HubSpot Pro-version, show results, do some interviews and take the HubSpot Partner Agency Certification.

There are a few different levels of HubSpot Agencies: Untiered, Silver, Gold, Platinum, and Diamond. This is how the levels are reached:

  • Diamond: Sell $11,000 MRR (Monthly Recurring Revenue) in HubSpot licenses in the past 12 months & manage a total value of $49,000 MRR in HubSpot licenses.
  • Platinum: Sell $4,125 MRR in HubSpot licenses in the past 12 months& manage a total value of $19,625 MRR in HubSpot licenses.
  • Gold: Sell $2,300 MRR in HubSpot licenses in the past 12 months &manage a total value of $5,800 MRR in HubSpot licenses.
  • Silver: Sell $1,250 MRR in HubSpot licenses in the past 12 months &manage a total value of $1,000 MRR in HubSpot licenses.
  • Untiered: Anyone else that is a HubSpot Agency Partner, but did pass the Silver level threshold.

All HubSpot Agency Partners receive a 20% commission on the total license fee of all HubSpot products (Sales Hub, Marketing Hub & Service Hub). For the add-ons (ie Transactional Email, Custom SSL) the partner receives a commission only for the first 12 months that the customer is on HubSpot.

An example: A HubSpot Partner sells one of his clients a HubSpot Marketing Pro license, 10 HubSpot Sales Enterprise seats, and the Reporting Add-on. This price for this would total €2,029 per month, or €24,348 a year. The customer pays for the Marketing Pro license and the Sales Enterprise seats on an annual basis, the Reporting Add-on is billed monthly. The HubSpot Partner will receive €4,869.60 for this deal in the first year (paid-out quarterly). In the second year, the partner will receive €4,425.60 (no commission for the Reporting Add-on in the second year). 

PS: If a HubSpot partner sells via the HubSpot for Startups program, they will not get the full commission from the start, but according to the MRR the startup is paying.

 

HubSpot Sales Partners

There is also a second kind of HubSpot Partner, the HubSpot Sales Partners. A HubSpot Sales Partner doesn’t have to go through a long qualification process like the Agency Partners but can start selling HubSpot quite quickly. A HubSpot Sales Partner only needs to buy a HubSpot Hub on the Starter level and they don’t need to take any tests or do interviews to qualify. So the investment they have to do before they can start selling HubSpot is a lot smaller.

The HubSpot Sales Partner will only get a 20% commission for the first 12 months of the contract. So if we take the same example as before the partner will only receive a one-time commission of €4,869.60.

Because we are just getting started, we too are a HubSpot Sales Partner and not a HubSpot Agency Partner. For the simple reason that we find the investment to become a HubSpot Agency Partner simply too high for now.

 

So there you have it. A quick overview of how HubSpot Partners actually make money. We’ll update this page if anything new happens in this area. But if you have found something in this article that is not correct or no longer up-to-date, please let us know. We want to keep this page a good resource for everyone with this question.