Hiring a sales representative for your company can be a mixed bag. Any businessperson knows that the growth of their business often depends on the quality of their sales team, but hiring the right sales people isn’t so easy.
That’s why it’s important to have a standard of sales representative contracts ready to go – not to mention distribution agreements ready to be put in place once a sale has indeed been made. That’s why these two types of forms often go hand-in-hand with each other when you’re building a business – and that’s why you’ll want to pay attention to exactly what these different contracts contain.
First, sales representative contracts simply outline the type of payment you’ll be offering to your sales people. For sales representatives, the main goal here is to review the contract and make sure that it’s in line with any informal employment agreement that you’ve made. Reading the fine print is important before you begin any job; it’s certainly crucial at this point when you’re starting out somewhere new. Ask for a copy of the agreement as well so that you know your rights in the future.
Second, distribution agreements are typically documents that are signed between two businesses. These business-to-business contracts typically lay out the terms of an agreement, often with guaranteed purchases, and will often incur a debt for one of the businesses if a payment has not been made on time. Having ironclad distribution agreements is important for your business; you don’t want to lose a major sale (and a major sales commission) simply because the contract supporting your agreement was not solid.
Understanding both of these forms and documents will be great for you, and once you get the hang of them you can truly celebrate new sales and distribution agreements because you know they need to be honored. As your business grows, these agreements can help provide the legal infrastructure to ensure you get what’s promised.
To download a sales representative contract, CLICK HERE.
To download distribution agreements or sales agency agreements, CLICK HERE.