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Despite the increased usage of sponsorship activities by practitioners, there has been little research on the impact of sponsorship on building brand image. This research examines the influence of sponsorship on associations transfer from sponsored entity to the sponsor. In order to test all the hypotheses, two pre-tests and one main study were conducted. Empirical findings suggest that individuals who are exposed to the highly fitting partnership develop a stronger associative link between sponsor and sponsored entity than individuals who are exposed to the poorly fitting partnership. Results do not offer support that frequency of the partnership contributes to building the strength of the associative link between sponsor and sponsored entity. Most importantly, results indicate that the strength of the associative link between sponsor and sponsored entity is positively related to the transfer of associations from sponsored entity to sponsor.