Wests Tigers have struck a historic agreement to overhaul their corporate structure in what the NRL describes as a potential blueprint for other clubs to follow.

Fairfax Media can reveal the Balmain and Western Suburbs factions, an uneasy alliance since they merged into Wests Tigers in 1999, have agreed to a new model of seven directors - two from the Balmain side, two from Western Suburbs, and three independent board members. The landmark agreement to ensure a more harmonious relationship between the merged entities was ratified by the NRL at an extraordinary meeting between the parties on Thursday. It came just two days after Balmain and Western Suburbs met to sign off on the arrangement.

''It's a historic moment for the Wests Tigers'': NRL boss Dave Smith. Credit:James Brickwood

Under the new arrangement, the ARLC has agreed to cover the financial shortfall of the cash-strapped Balmain side for the next two years. Balmain must square the ledger within that period or face losing their shares in the joint venture.

Until such time as security is provided against the money lent, the two Balmain board members - Nick Di Girolamo and Danny Stapleton, who have been nominated for those spots - won't have voting rights. Western Suburbs will be represented by Tony Andreacchio and Wests Ashfield boss Simon Cook.