A Revenue Sharing Agreement is an agreement between two or more parties that outlines how revenue will be distributed amongst them. It typically considers multiple factors, such as market share, sales volume, cost of goods, expenses and investments made by each party. This revenue sharing arrangement encourages all parties involved to work towards common goals and is a great way to ensure everyone is compensated fairly when it comes to revenues generated from joint resources. By coming together to negotiate and define the terms of this agreement, both parties can ensure their interests are met so all can benefit from any profits earned.