How To Create a Sales Contract

If you are engaged in a retail or wholesale business, a sales contract is one of the most crucial tools that you have to ensure your profits and to protect yourself from negligence on the customer’s side. Writing a sales contract may seem difficult at first, but even without a lawyer, you can create your own through these steps.

Identifying the roles. Begin by identifying the roles which you and the client will play out in the sales transaction. The most basic roles are that you are the supplier, while the client is the buyer. Include a detailed summary of the risk and functions which you and the client will have to assume as entities involved in the sales contract. For instance, the client should be informed of the payment basics, and the payment plans which the customer must adhere to when transacting with you. You, on the other hand, must make sure that the products are in good working condition or that you are willing to take replacements or repairs on products that have broken down within a given timeframe.

List the prices and fees. Next, you should also provide a price index that will include all of the fees that the client will have to pay. This should include not only the base price for the product that will be sold, but should also have the fees for additional services and upgrades to the equipment. Computers, for instance, are usually sold with a variety of other fees for upgrades in software and hardware, such as additional RAM, hard disk space, or processor power. If there are fees for the warranty and customer support service, these should also be included. The delivery fees should also be included.

Plan out the delivery options. Next, the sales contract should also clarify the delivery options for the product that will be sold. For instance, some products are too large to be transported by the buyer, in which case the retail company should provide transportation and delivery services. Furniture and large appliances such as refrigerators should also come with this service. If you are a company that transacts via the internet, you should also include tracking options that will allow the client to monitor where the parcels that they purchased are, and how much longer they will have to wait.

Include product warranties. Product warranties should also be included in the sales contract. The product warranties should be detailed enough to cover all of the circumstances and conditions where you will have to accept a product as faulty or defective, and should also stipulate all of the possible courses of action that you or your company will take once these defective products are received.

Finally, add your signature and a witness's signature on the contract. You can also have a lawyer to notarize the contract, especially if you are dealing with major transactions that cannot be taken lightly. Through these steps, creating your own sales contract can be done.


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