A Fabulous Affair is using a wide network of independent contractors as its channels of distribution.  Jack Banquet has a written agreement with each contractor that extends a 10% discount on services to the customer.  In return, the business will refer the independent contractor and give them first option on bidding for the job.  As an added bonus, these contractors have been recommending prospective clients to A Fabulous Affair on a regular basis.  The agreement with the contractors also includes a 10% referral fee on the gross amount contracted by each client.  

For example, if a bride hires a florist referred by A Fabulous Affair to create floral arrangements at a cost of $25,000, then $2,500 of that amount would be allocated to the service.   At present, the primary channels of distribution consist of:  Florists, Bakeries, Photographers, Musicians, Equipment Rental and Linen Companies.