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Direct Sales Agreement
"I need a Direct Sales Agreement for my cosmetics manufacturing company based in Lagos to appoint a direct seller to distribute our skincare products across Western Nigeria, with exclusive territory rights and minimum monthly sales targets, planned to commence from March 2025."
1. Parties: Identification and details of the supplier/manufacturer and the direct seller
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Key terms used throughout the agreement
4. Appointment and Territory: Terms of appointment as direct seller and defined sales territory
5. Products and Pricing: Description of products to be sold and pricing structure
6. Orders and Delivery: Process for placing orders and delivery terms
7. Payment Terms: Payment conditions, methods, and timing
8. Obligations of the Supplier: Supplier's responsibilities including product supply, support, and training
9. Obligations of the Direct Seller: Direct seller's responsibilities including sales targets, reporting, and conduct
10. Product Quality and Returns: Quality standards, warranty terms, and return procedures
11. Intellectual Property: Usage rights for trademarks, logos, and other IP
12. Confidentiality: Protection of confidential information
13. Term and Termination: Duration of agreement and termination conditions
14. Governing Law and Jurisdiction: Application of Nigerian law and dispute resolution
15. General Provisions: Standard boilerplate clauses including force majeure, notices, and amendments
1. Marketing and Promotion: Specific terms for marketing activities and promotional materials - include if direct seller will conduct marketing
2. Training Requirements: Detailed training obligations and procedures - include if specific training is required
3. Performance Targets: Specific sales targets and performance metrics - include if implementing performance-based terms
4. Insurance: Insurance requirements and coverage - include if specific insurance obligations exist
5. Non-Compete: Restrictions on competing activities - include if competitive restrictions are needed
6. Data Protection: Data handling and privacy requirements - include if personal data processing is involved
7. Import/Export Compliance: International trade compliance - include if cross-border sales are involved
8. Sub-contractors: Terms for engaging sub-contractors - include if sub-contracting will be permitted
1. Schedule 1 - Product List: Detailed list of products with specifications and prices
2. Schedule 2 - Territory Map: Detailed definition of the sales territory
3. Schedule 3 - Commission Structure: Detailed breakdown of commission rates and calculations
4. Schedule 4 - Performance Metrics: Specific performance targets and measurement criteria
5. Schedule 5 - Operating Procedures: Detailed operational procedures and requirements
6. Appendix A - Return Policy: Detailed procedures for product returns and refunds
7. Appendix B - Marketing Guidelines: Guidelines for marketing and promotional activities
8. Appendix C - Training Manual: Training requirements and procedures
Authors
Consumer Goods
Retail
FMCG
Electronics
Cosmetics and Personal Care
Health and Wellness Products
Food and Beverage
Home Appliances
Fashion and Accessories
Direct Selling Industry
Manufacturing
Distribution
Legal
Sales
Commercial
Operations
Compliance
Business Development
Finance
Supply Chain
Distribution
Contract Management
Sales Director
Commercial Director
Business Development Manager
Legal Counsel
Compliance Officer
Sales Operations Manager
Direct Sales Manager
Territory Manager
Contract Manager
Chief Executive Officer
Managing Director
Sales Representative
Distribution Manager
Corporate Lawyer
Procurement Manager
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