From Longman Business Dictionaryincentive feeinˈcentive ˌfee1[countable]HUMAN RESOURCES an amount paid to a person or organization for carrying out their work to a high standardHarrah’s will receive an incentive fee if it hits certain goals.2[countable]FINANCE an amount of money an investor pays to a dealer who is working for them if the dealer succeeds in making an agreed profitThe rate includes an incentive fee of 12.5%. → fee