Non Comercial Affiliate program, legal?

Discussion in 'Legal Issues' started by Ricus, May 15, 2012.

  1. #1
    Hello everyone!

    I own a free webhosting company, which is only for non comercial purposes. This means, that I am allowed to purchase advertisement for it or pay the server costs with the money earned from it. But now I have a little issue. Is it allowed to add an affiliate program? For example, if a person refers 5 people and they all pay, am I allowed to give the person $10?

    Hoping to get an answer soon :)
     
    Ricus, May 15, 2012 IP
  2. Steve Marx

    Steve Marx Peon

    Messages:
    4
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #2
    You may want to re-word your post as it seems unclear for your intent. Only a suggestion that may get you more responses to your post here.
     
    Steve Marx, May 15, 2012 IP
  3. browntwn

    browntwn Illustrious Member

    Messages:
    8,347
    Likes Received:
    848
    Best Answers:
    7
    Trophy Points:
    435
    #3
    Not really sure what country you are in or why you think there is some restriction on what you are doing. You say you "own" the webhosting company, but it is for "non commercial" purposes. What does that mean? In the United States, even a non-profit group can do things that make money. I guess you have some type of restriction in the way you set up your business, so you need to refer to whatever rules you think limit you and see what they say. Aside from that, I see no reason why you could not pay an affiliate or even make money. You need to review the agreement that you think limits your business to "non commercial" activities and see how that applies.
     
    browntwn, May 16, 2012 IP
  4. Ricus

    Ricus Peon

    Messages:
    84
    Likes Received:
    1
    Best Answers:
    0
    Trophy Points:
    0
    #4
    I live in Germany and the rules are pretty strict. If I own a non comercial business, than I am not allowed to keep any of the money. I may use the money for anything related to the business though, such as advertisement, servers, electricity or when it is not an online business, than things such as furniture and other. (As long as the things I pay with the money earned from the business are only to be used for the business or related to it)
    Now adding a affiliate program is actually only for promotional purposes, which are related to the business, but since I am paying another person money, must I include taxes or is this even allowed?
     
    Ricus, May 16, 2012 IP
  5. browntwn

    browntwn Illustrious Member

    Messages:
    8,347
    Likes Received:
    848
    Best Answers:
    7
    Trophy Points:
    435
    #5
    I do not know about German law and can't give you any advice. Good luck.
     
    browntwn, May 16, 2012 IP
  6. Ricus

    Ricus Peon

    Messages:
    84
    Likes Received:
    1
    Best Answers:
    0
    Trophy Points:
    0
    #6
    I have read the review at woorank.com about digitalpoint and apparently 1% of all people visiting this website are Germans, but I think the law we have here is similar to the law in the USA.
     
    Ricus, May 16, 2012 IP