The Benefits of Affiliate Businesses: Everything you need to know

Lyon, 05 July 2023 – “Unity is strength”. How many times have you heard this phrase? Here, let’s say that it represents very well the affiliated companies and their functioning. Very often small companies cannot cope with costs and market competition. It is precisely in these difficult moments that this strategy is used. But how does it work? What are the benefits? Let’s discover them together!

What are Affiliate Businesses?

Businesses are affiliated when one company is a minority shareholder of another. In most cases, the parent company will have less than a 50% stake in its subsidiary. Two companies can also be related if controlled by an independent third party. In the business world, affiliated companies are often called simply affiliates. The term is sometimes used to refer to companies that are related to each other in some way. Obviously, associating with other industry professionals who have similar goals, interests, challenges, and issues to the company adds a lot of value to the business. The aim is to make the most of all the advantages offered by the affiliated companies.

How do you join?

There are different ways where companies can join. A feat it may decide to buy or take over another company or to divide part of its operations into a new branch. In any case, the parent company usually keeps its operations separate from its affiliates. Since the parent company is minority-owned, its liability is limited and the two companies maintain separate management groups. Often a company does not know how and with whom to affiliate. In these cases you can resort to businesses that follow you and help you find the best affiliatessuch as AvaPartner affiliates.

What are the benefits of affiliation?

Improve company reputation and customer trust

Business affiliations allow you to strengthen the image of companies as trusted brands and have a positive effect on their customers. Many customers see this as confirmation that the company follows industry best practices. In Italy many companies use this strategy.


Networking, i.e. the opportunity to interact with other professionals in the sector, is one of the main advantages offered by affiliated companies. Joining a partnership allows a professional to interact with others who can provide industry-relevant information and support, as well as help you win new clients and progress within the industry.


Affiliates also provide training to their partners which is a key aspect for improve the competitiveness of enterprises in a given sector. The partnership is formed through various means, such as online training, providing market information, and through specific events created with a training objective.

Solve industry crises

It may happen that the major media could receive very negative news of the company. For example, a study could be published stating that some industry-related products are harmful to consume or cause a certain disease. In these cases, the affiliation act as an official voiceevaluate the veracity of the news and, if the story does not have a solid basis, can stop the impact of that news.

Access to savings programs

Affiliate businesses also help save time and money to their partners through agreements with different suppliers that could have a big impact. In this case, they would work as one purchasing center. These discounts can be applied to products or to the contracting of specific services.

According to Istat data, affiliated companies in Italy have increased in recent years and this can only mean that it is an excellent strategy to protect yourself at the same time, increase your capital.

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