Wholesale Contract

Business By Karema Updated 5 Mar 2012 , 8:53am by scp1127

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Karema Posted 5 Mar 2012 , 2:25am
post #1 of 3

I am new to providing whole sale items for businessess. I would like to have a contract of some sort and was wondering if anyone had one that I could look at to get ideas. What kind of things should I be putting in a contract? Should I be giving them a trial period with a lower amount then raise the price after I have been providing service for about 6 months. As of now I'm providing cupcakes for a candy store. She orders about 3 dozen a week and sometimes more. She also orders cookies. I want to have a contract bc I want to make it clear that my product is only to be sold for so many days and then after a while I want them thrown away bc I do not wish for my product to be sold after it is stale or doesn't taste good. Is that ok to put in a contract? I need lots of helps so any help would be appreciated. Thanks


2 replies
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scp1127 Posted 5 Mar 2012 , 8:52am
post #2 of 3

First, make sure that you are properly licensed for wholesale. This usually involves a separate license with more rules, especially in labeling and packaging. The HD also likes to know where they will be sold, but in your case, that is obvoiusly ok.

Yes, you need a contract. If you have a labeling law or packaging law that must be followed, then you can have an expiration on that.

Another way is for you to get rid of your own inventory when you bring more. A contract is important here if the store owner buys them outright and you are throwing away her product. Still, you can cover this in a contract. If you are providing them on consignment, then you are tossing your own product, but you may need an inventory adjustment to make sure you have enough.

Contracts don't have to be formal. When you think of it, add it. But since you already are doing it, the issues should be easy to figure out. Just talk it out and make sure both parties are satisfied.

You both may find that it is better to run out than to throw away, especially if you are close to the store. By now you should know about what you need each day of the week.

You need to add it all if you start a contract. Cover pricing wholesale and retail, illness, flavors, variety, excess inventory, running out of inventory and time allowed to re-stock, payment time and type, packaging, and anything else that pertains to your business, such as your personal sales. Sign and date two copies and that's it.

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scp1127 Posted 5 Mar 2012 , 8:53am
post #3 of 3

I forgot...

Make sure you have an exit clause for when either of you decide to terminate the contract.

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