As the term ‘distributor’ lucidly implies, a Distributor Agreement is nothing but an agreement made to distribute a company’s products. The organization is responsible for the production of the products while the distributor is the person authorized to sell and promote the company’s products in the market.
A Distributor Agreement is therefore signed between the company and the distributor. The agreement lays down all the duties and responsibilities of the distributor clearly. One major duty a distributor must fulfill is to protect the trade mark and copyrights of the products. The agreement also lays down the duties of the concerned company towards the distributor. Both parties must understand the significance this agreement has n the relationship between the two. A Distributor Agreement also documents all the terms, conditions, and termination procedures. Draft the ideal distributor agreement even if your deal seems messy.
Whether you plan to go global or not, marketplace competition is fierce and complex. The strength of relationship between distributors and product owners can make the difference between making it a success or going belly up. To make sure the relationship a distributor and a company shares is mutually beneficial, a Product Distribution Agreement must be signed.
Free professional templates are here for your reference. Our template makes sure to walk you through all the details you will need to decide on, for example: what will happen if the distributor is unable to move the goods, what will be the sales quota, structure of the commissions, what will be the warranty offers, if the distributor decides to take hire employees who will pay for the insurance and employment taxes.
Microsoft Word document file | File size 43 KB | No. of pages = 3 | Download