When you create a link to another website or web page, search engines will follow those links and it will be considered as an inbound link or back link, unless when you create the link mark it as nofollow from the link setting so search engine stop following.
Where should we use nofollow link
Generally when you want to drive traffic to another website that you don’t want to endorse, then you should mark the link as nofollow.
But also you should know that having one outbound link to another website with follow, will have a positive effect on SEO and ranking higher.
Remember not to do so for internal links on your own website, so search engines can track those movements.
