JQF Jacob Quality Floors Service arrangement
Jacob Quality Floors + Intelligence Masters

Service
arrangement.

A month-to-month engagement to organize the company's data, build the sales infrastructure, and create measurable growth systems for developers, contractors, and other priority buyers.

Initial 30-day build Month to month Performance aligned Draft for confirmation
Review terms
Commercial summary

The deal at a glance.

These are the commercial terms directly supported by the business discussion. The ongoing fee after month one, currency and taxes, and the $300K step-up still need written confirmation.

Initial month
$4,000 first 30 days

Covers the initial implementation, testing, system work, and ordinary AI usage described during the discussion.

Supported
Performance fee
15% of profit on attributed sales

The percentage and profit basis were accepted. The exact profit and attribution formulas still need to be written.

Agreed in principle
First month
0% commission

The first 30 days are for setup, data, testing, and attribution. No performance fee is charged during this phase.

Agreed in principle
Growth step-up
20% after $300K

The step-up was accepted in principle. The $300K measurement and how the higher rate applies still need confirmation.

Confirm in writing

The first month at $4,000 is supported. The conversation then asked whether month two would be $3,000 and received “depends,” so the ongoing monthly fee must be confirmed before signing.

First 30 days

Build the foundation before scaling outreach.

The first month is an implementation and testing period. It creates the data, profit, attribution, and operating structure needed to run sales activity responsibly.

01

NDA and data rules

Sign the mutual NDA, define approved tools, and decide which business information can be used in each system.

02

Collect and organize the records

Bring together products, pricing, inventory, customer history, recent sales, open quotes, website data, and financial records.

03

Select ten test products

Choose a focused product set and confirm each item's price, landed cost, margin, stock, delivery rules, and best buyer.

04

Set the profit formula

Start with Tony's existing product-cost formula, including ocean freight, currency conversion, and duty, then confirm any additional deductions in writing.

05

Install attribution

Label existing contacts and opportunities, then track every new researched lead, campaign touch, quote, sale, payment, and return.

06

Run the first market test

Research priority developers and contractors, prepare the first outreach motion, and use actual response data to refine the offer.

07

Plan brand and website work

Use the data and buyer research to define the site, positioning, proof, product pages, and campaigns instead of guessing first.

08

Review every Wednesday

Meet weekly during setup to review data quality, completed work, decisions, blockers, and the next test.

System scope

The system discussed.

The conversation described a broad system spanning data, sales, website, branding, and advertising. The final agreement should separate the first-month commitments from later phases. Developers and contractors remain the priority audiences.

Data and market intelligence

  • Clean and structure product, customer, sales, quote, inventory, and margin data.
  • Build researched developer and contractor target lists across the GTA.
  • Track projects, decision-makers, fit signals, timing, contact information, and next actions.
  • Identify the products, customer groups, and offers with the strongest practical profit potential.

Revenue operations

  • Set up lead capture, CRM stages, reminders, quote follow-up, and pipeline reporting.
  • Prepare targeted email, phone, LinkedIn, and relationship-based outreach for approved campaigns.
  • Automate routine research, drafting, follow-up preparation, record updates, and reporting.
  • Keep prices, discounts, quotes, commitments, and sensitive decisions under client approval.

Brand, website, and campaigns

  • Refine positioning and the website using real product, buyer, and sales evidence.
  • Create clearer product pages, buyer-specific proof, offers, and conversion paths.
  • Prepare advertising and campaign tests after tracking and product economics are ready.
  • Measure what produces qualified conversations, quotes, sales, and collected profit.

Operating rhythm

  • Weekly Wednesday reviews during implementation, moving to biweekly once the system is stable.
  • Documented priorities, completed work, experiment results, risks, and decisions.
  • Month-to-month adjustments based on data, business capacity, and observed results.
  • No guaranteed sales result; the commitment is to the agreed work, controls, and reporting.

Recommended contract boundary: advertising spend, unusual data costs, new paid software, hardware, travel, and major third-party purchases require separate written approval.

Performance fee

Use one formula that both sides can verify.

“15% of profit” only works when profit and attribution mean the same thing to everyone. The accounting or CRM record should be the shared source of truth.

Recommended contract definition
Attributable gross profit = cash collected from a qualifying sale - refunds and credits - landed product cost - agreed direct sale or project costs.

The performance fee is earned only after the customer's payment clears and is reconciled monthly. Taxes collected for government remittance are not profit.

$10,000Customer cash collected
-$6,000Agreed landed product cost
-$500Refunds or direct project costs
$3,500Attributable gross profit
$52515% performance fee

Recommended qualifying sale

  • The lead was generated or materially influenced by the new system and logged before the sale.
  • The buyer, opportunity, quote, and payment can be traced in the agreed source of truth.
  • The sale was not an existing customer or open opportunity unless both sides tagged it as commissionable.
  • Returns, credits, cancellations, bad debt, and duplicate leads are removed or corrected.

Recommended reconciliation

  • Review qualifying paid sales, the agreed cost calculation, adjustments, and performance fee.
  • Keep the supporting records visible to both sides.
  • Correct later refunds or credits in the next statement.
  • Resolve disputed items before payment instead of guessing at attribution.
Before signing

Six points need one clear answer each.

Three transcript passes produced the same open items. Answering these removes the contradictions and gives the final service agreement clean numbers and boundaries.

Confirm before final

The first-month structure is clear enough to proceed. These six details should be settled in writing before the document becomes the final agreement.

01After the $4,000 first month, is the ongoing retainer $4,000, $3,000, or reviewed month by month?
02Are all dollar amounts CAD, and is HST added where legally required?
03Does $300K mean monthly attributed revenue, attributed gross profit, or total company performance?
04Once the threshold is reached, does 20% apply to all qualifying profit or only the amount above $300K?
05Which costs reduce profit, and exactly which existing or new sales qualify for commission?
06Are website, branding, and advertising deliverables included in the retainer or approved as later phases?
Drafting format after confirmation
“The performance fee is 15% of Attributable Gross Profit until [defined monthly metric] reaches $300,000. The rate then becomes 20% [on all qualifying profit / only on the amount above the threshold].”

The bracketed choices must be replaced with the final agreement. They should not remain open in a signed contract.

Agreement structure

Month to month, with clear standards and a fair exit.

The arrangement is designed to move quickly without locking Jacob Quality Floors into a long fixed term. The final service agreement and NDA should control the legal details.

Working terms

  • Month-to-month service rather than a one-year or multi-year commitment.
  • $4,000 invoiced for the initial month; e-transfer is the preferred payment method.
  • Work activates after the NDA, service agreement, and first payment are complete.
  • Written service standards and a defined cure period before termination for a correctable failure.
  • Client may end the service if a material failure is not cured within the agreed period.

Approval and ownership controls

  • Jacob Quality Floors controls pricing, discounts, quotes, customer promises, ad spend, and final business decisions.
  • Company data and client-owned accounts remain the client's property.
  • Ownership of custom code, creative assets, domains, workflows, and reusable provider tools must be stated in the final contract.
  • Any new third-party cost or material scope change requires written approval.
  • Business outcomes are not guaranteed.
NDA and confidential information
  • The NDA should be mutual and signed before broad access to customer lists, pricing, margins, product costs, inventory, quotes, financial records, business plans, and operating procedures.
  • Confidential information may be used only to deliver the approved Jacob Quality Floors work and may not be shared with competitors.
  • This is a confidentiality restriction, not a non-compete. It does not stop either side from working with other businesses.
  • Approved team members and subcontractors should carry confidentiality obligations at least as protective as the NDA.
  • The final NDA must state its duration, legal parties, governing law, security duties, incident notice, and return or deletion process.
AI tools and data handling
  • Some work may use third-party AI or software systems. The service agreement should identify approved providers, permitted information, and relevant retention or training settings.
  • Sensitive information should be minimized, cleaned, redacted, or kept out of external systems when appropriate.
  • A fully local private AI environment is not included in this arrangement unless separately designed, priced, approved, and implemented.
  • Access should be limited to what is needed for the agreed purpose, with a documented process for revocation and deletion.
Items the final legal document still needs
  • Exact legal entity names, signatories, effective date, invoice due date, taxes, and late-payment terms.
  • The exact cure period, month-to-month cancellation notice, and notice method.
  • The finalized $300K definition, attribution window, performance-fee payment date, and dispute process.
  • Intellectual-property ownership, warranty limits, liability cap, indemnities, and governing law.
  • Advertising budgets, software limits, usage limits, and approved third-party expenses.

This presentation records the commercial understanding and drafting basis. It is not a substitute for the final signed NDA and service agreement, and legal counsel should review those documents.

Next step

Turn the working deal into two signed documents.

Finalize the mutual NDA first. Then complete the month-to-month service agreement with the first 30-day scope, the exact profit formula, attribution rules, and the confirmed $300K step-up language.

Activation sequence

1. Confirm the six open business terms.
2. Insert the legal party names and remaining contract details.
3. Review and sign the mutual NDA.
4. Review and sign the service agreement.
5. Issue the $4,000 first-month invoice.
6. Begin the data and ten-product implementation phase.

Approval record

Signature blocks belong in the final service agreement after the open definitions are completed.

Jacob Quality Floors
Service provider

Prepared from the parties' business discussion for review and accurate contract drafting.

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