It would be recurring assuming he gets a certain amount of signups each month. But in month 2, he no longer gets that money from the customers - that goes straight to the other company.
He may get a one-off payout of $100 or so per signup, but if he had his own service he would continue to make money from the original signups while gaining new ones each month.
He may get a one-off payout of $100 or so per signup, but if he had his own service he would continue to make money from the original signups while gaining new ones each month.
Recurring payments > One-time payment.