Partner FAQ

Web metrics for partners

What type of data is available to partners for their listing?

Partners are provided data on all trial and purchase transactions and technical support requests. Web traffic information and revenue reports are also available on Partner portal. For more information on web metrics, refer to Partner Reports.

Subscription management service

How do I know when someone purchases my product?

Subscription management service provides an automated way for Red Hat Marketplace to notify you of all significant customer events associated with your product (such as new trial registration, new purchase, renewal, cancel/terminate, etc.). The information sent through the subscription management service provides the requestor details including their name, email, address, edition details, and the type of event they triggered. For more information, refer to Subscription management service.

How do I configure the subscription management service?

You can configure the subscription management service in the partner portal using either an email address or a webhook configuration. Both methods will provide the same information but using the webhook will allow for automation in your business. Webhook is the preferred way to integrate the marketplace with your business systems to allow for immediate response in case of time-sensitive actions.

After a customer’s subscription term ends, will I be notified?

You will not be notified via the subscription management service if a subscription term ends without being renewed. You have an option to select auto-renew during edition configuration. Based on the option selected in the edition editor, if auto-renew is not selected then the subscription will terminate after a single term. You will get notifications for renewal and terminations.

What is suspend and how does it work?

Red Hat Marketplace suspends access to subscriptions at the end of the free trial period. For example, when a 30-day trial ends, we would send a suspend subscription message. The suspended state is for 10 days. It gives the customer time to buy the edition. If they did not buy the edition, then RHM will automatically unsubscribe after the 10 day grace period.

Where can I find more information on Product lifecycle API?

For more information, refer to How Product lifecycle API works.

How do I provide a license key to customers?

Red Hat Marketplace notifies partners via standard new subscription email (this is an “immediate” notification, triggered at the time of the transaction). Partner receives the email, creates a license key, and emails it to the customer.

Operator certification

How do I certify my Red Hat OpenShift Operator and Containers?

To list a product on Red Hat Marketplace through Red Hat OpenShift Operator and Containers Certification, you need to complete the certification workflow in the Red Hat Partner Connect portal. The workflow ensures that the application meets the criteria specified in the Red Hat Certification Policy Guide. For further information, you can gather more details on this process here.

What are the export compliance requirements for the Operator Certification process?

The Red Hat legal team provides an export compliance questionnaire that needs to be completed as Step 1 for Operator Certification. The compliance questions need to be reviewed and answered by the partner’s legal team. For more information on this step, refer to Export Compliance on Red Hat Partner .

You will also need to provide the Export Control Classification Number (ECCN) for your product listing in Red Hat Marketplace.

What do I need to do before I begin the certification process?

There are multiple prerequisites to complete the operator certification on Red Hat Partner Connect. The tasks include creating a login to the partner connect portal, completing a company profile, adding users to the company account, creating a product listing in the Red Hat Catalog, and completing export compliance to distribute the product on the Red Hat registry and Red Hat Marketplace. For more information, refer to Program prerequisites.

Partner payments

How do I receive payments when products are purchased on Red Hat Marketplace?

As part of your company setup, you will need to provide us information so we can pay you based on the sales for your products. We will collect electronic funds transfer information (bank routing and bank account). Red Hat Marketplace will deposit payments directly to this account.

When will I receive payments when products are purchased on Red Hat Marketplace?

You receive payments 60 days after the customer’s billing cycle completes. For example, a client billing in March, you will be paid by the last day of May. You will be notified of the remittance amount by email and/or postal mail. We will also provide a monthly details report In the partner portal. For more information on reports, refer to Partner reports.

Tax considerations

How will taxes be handled for sellers in the United States?

For tax information for sellers in the United States, refer to Tax information for sellers in the United States

How will taxes be handled for sellers outside the United States?

For tax information for sellers outside of the United States, refer to Tax information for sellers outside of the United States

IBM will also collect a tax registration number from you for other countries as required, to comply with tax laws for selling in those countries.

Will taxes be withheld on payments to sellers?

IBM may be required to withhold corporate income tax from payments to you if your legal entity is outside of the United States. This withholding is determined by the US Internal Revenue Service Form W8 that you provided to IBM. The withholding rate varies by country.

Partner export compliance

Does Red Hat Marketplace conduct export compliance checks for partners?

All new companies and all new users are checked against the US Government Denied Parties List. When you create a new product, Red Hat Marketplace verifies that the Export Classification Code (ECCN) allows open worldwide distribution (except embargoed countries). For more information, refer to Export compliance.

Does Red Hat Marketplace conduct export compliance checks for users?

All new users are checked against the US Government Denied Parties List.

Will Red Hat Marketplace block transactions for export compliance?

Red Hat Marketplace blocks transactions in the following scenarios: At purchase or trial registration time, Red Hat Marketplace verifies the IP address of the user is not located in an embargoed country. At deployment time Red Hat Marketplace verifies the IP address of the user and the IP address of the cluster is not located in an embargoed country.

Selling in other geographies

How do I sell my product in other geographies?

You can opt-in to sell in other geographies by logging in to the Red Hat Marketplace Partner Portal and making your geography selection. For more information on how to enable selling in other geographies, navigate to this page.

How is pricing calculated for other geographies? 

Pricing can be set in Red Hat Marketplace Partner Portal. Your product price in other geographies is automatically calculated based on the Currency Conversion Guide applied to your USD price. Any changes to the USD price will change your price for other geographies selected on the partner portal.

What if I don’t want to sell in other geographies?

All countries outside of the US are optional, and you will need to opt-in to Canada in Red Hat Marketplace Partner Portal.

If I don’t sell in Canada, will I be able to sell in other geographies that become available?

Yes, while you are required to offer your product in the U.S. Marketplace, you have complete flexibility on which geographies you sell in outside of the United States.

How will I get paid for Canadian purchases?

You will be paid in USD for purchases made in Canada based on the exchange rate at the time of the customer invoice. If a customer purchases your product on August 1, 2021, for 100 CAD at a 2-year term, your first payment is based on the exchange rate on August 1, 2021 (i.e. 1.26 CAD/USD or 79.36 USD), and your second payment is based on the exchange rate on August 1, 2022 (i.e. 1.30 CAD/USD or 76.92 USD)

How is the price of my product being converted for sales?

The price of your USD product is converted to CAD using a Currency Conversion Guide that is reviewed quarterly. This provides price stability to your customers as the price of the product would not fluctuate with the market rate.

Why are there different conversion mechanisms for listing price versus Net Billing payment?

  • The listing price is set using the Currency Conversion Guide rate to provide price stability to customers

  • The Vendor payment will be paid on the Bloomberg published exchange rate from CAD to USD as of the date of the customer invoice. This is to appropriately manage currency conversion risks.

Is a Canadian bank account required for creating Canada listing?

You do not need a Canada bank account. RHM will pay you using the bank information that you provided when your company were initially onboarded. We will pay you in USD from IBM Corporation (US).

Will there be any notifications after we submit the Canada tax forms?

The Canada billing agent forms are submitted to the IBM Canada tax team when you upload the forms.  An email notification is sent to the IBM Canada tax team and you when the forms are submitted. The IBM Canada team will review the forms, countersign and send a copy of the completed forms back to the person that submitted the forms.  RHM will assume the forms are correct and allow you to publish your product right away.

Could you please provide more context on why the Canada billing agency forms are required?

Red Hat Marketplace purchases in Canada are handled by the IBM Canada legal entity, who will bill customers, collect taxes and remit tax payments to taxing authorities in Canada.  Since Red Hat Marketplace agreement is between your and the IBM Corporation (US) legal entity, you need to establish a billing agent relationship with IBM Canada.  That is done through the Canada tax forms to assign IBM Canada as your billing agent for purchases made in Canada. You do not need to register for a Canada Tax identification number.

Also see this article from PwC about the Canada tax changes that can help you understand the requirement to assign IBM Canada as your agent for collecting and remitting tax for purchases made in Canada. For more information, refer here.

Are both the forms necessary to complete the Canada listing?

Yes, both forms are required.

Form GST506

  1. Part A - Principal’s identification
  • Legal name: The same legal name of the entity you are doing business with Red Hat Marketplace.
  • Business number: leave blank
  1. Part B - Identification of the agent
  • Legal Name: IBM Canada Limited/IBM Canada Limitee
  • Business number for GST/HST: 102444452RT0001

Form Fp2506-V

1)  Identification of principal

  • Name: The same legal name of the entity you are doing business with Red Hat Marketplace.

  • GST/HST account number: leave blank

  • Quebec enterprise number (NEQ): leave blank

  • Identification number: leave blank

    2)  Identification of the agent

  • Name: IBM Canada Limited/IBM Canada Limitee

  • GST/HST account number: 102444452RT0001

  • Quebec enterprise number (NEQ): 1165702128

  • Identification number: 1000453834 TQ0515

Can a customer in an unapproved country download a free trial or purchase editions today?

Free trials and purchases are only available to end-users in approved countries that are live for Red Hat Marketplace.