"2006 was a phenomenal year for us," says Dan Ushman, co-founder and VP of marketing at midPhase. "We grew by leaps and bounds, shattering every record we ever set for the company's growth. And most of it was due to our affiliate program."

Ushman says the company went from signing 1,000 new clients a month at the beginning of 2006, to more than quadrupling that number to 4,000 customers a month towards the end of the year. midPhase says it registered 4,200 new accounts in December alone.
 
When midPhase affiliates refer one of their client's, typically a SMB, to midPhase through a special tracking link on its Web site, that referring company receives a commission, which is based on the volume of referrals. Some affiliates, says Ushman, are sending thousands of new clients per month.