Lema Khorshid writes about the agreements between manufacturers and representatives. While these agreements tend to be mutually beneficial, it’s important a well-written contract is in place.


Companies seeking a way to streamline their sales process and create time to focus on their product lines may find that sales representatives are an efficient and effective way to drive sales, perhaps by tapping into existing networks of prospective buyers or by allowing the company to reallocate its human resources to more pressing internal needs.

Since the sales representative agreement often ties the representative’s compensation to his work production through a commission structure, the incentives for both manufacturer and representative align. A well-drafted contract between the manufacturer and the representative can ensure a fair, mutually beneficial relationship.


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