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How to Write a Reseller Agreement?
A legal agreement usually sprouts when two or more parties engage in mutual collaboration in performing a specific task that will benefit them both. To make the agreement legally binding, contracts must contain an offer from one party and a clear acceptance from another. There should be an exchange of consideration (something of value) and a notarized copy of the agreement to make it legally enforceable.
A reseller agreement is a contract between a vendor and a reseller who agrees to sell the vendor's services or products to another party. This type of agreement between two parties should maintain proper economics and structured programs that will mutually help both the vendor and the reseller reach their potentials.
1. State the Purpose
It is important to specify the reasons on why you should establish an agreement with another party. Thoroughly ponder on what the other party offers and if it will be in the best interest of your business to consider the offer. Write a detailed account of the services or products that will be used or exchanged during the implementation of the contract. Do your research and ask business professionals about their points of view regarding the said matter before you jump into a conclusion and sign the business agreement.
2. Know the Fundamentals
Your contract should include the specifics. It should contain the details on when the agreement will take effect and when it will end. Agreement essentials like the payment schedules and options, project milestones, terms and conditions, legal clauses, disclaimers, and the signatories should be taken into account to strengthen the validity of the contract.
3. Determine the Capacity and Competency
Both parties should fully understand the nature of the agreement and the responsibilities that they need to adhere to before signing the contract. A service or sales contract engaged by a person who is under the influence of alcohol or drugs, with mental incapacity, or under the age of 18 or 21 is voidable by law under certain grounds and conditions. Make sure to run a background check on your potential business partner to prevent this kind of despicable situation from happening.
4. Consider the Language
To avoid misconceptions, the agreement form should be written using plain and simple language to deliver the contents as clearly as possible. Technical terms and jargon should be used only if needed and should be explained accordingly to avoid confusion and misinterpretations. Acronyms and abbreviations should be provided with meanings to avoid alienating the readers.
5. Sign the Deal
Before sealing the deal and affixing your signature, be sure that you already read every content of the agreement. Check if there's anything that you would like to add or exclude from the contract. Having a lawyer or a legal practitioner review the agreement will help ensure that the contents are legitimate and in compliance with the law where the contract exists. Make sure that both parties signed all the pages of the agreement document and have it notarized to add more weight to the legality of the contract.
