Business Agreement Templates
A Business Agreement is a legal document that binds a buyer or a business owner and a seller or a supplier in a contract. This document is written when a company or an individual want to go into business with another individual or company. In most cases the agreement is signed between a vendor who will be selling or supplying products and services to the buyer. This article will focus on Business Agreement guidelines.
Writing a Business Agreement
The first step of writing a Business Agreement is to identify the parties involved, that is the seller and the buyer. Indicate the name, address and contact information of both the seller and the buyer. This is important for clarity purpose since names can be similar then the address and contact will differentiate the parties. Make sure all the information is filled in correctly to avoid confusion in the future. Since it is a legal document, it is important for all details to be clear in case of legal procedures there will be no issues or conflicts.
Also the Business Agreement should show the contract period. If it is a one year agreement then it should be indicated the start date of the contract term and the end date. Also indicate if the contract can be renew or not, if it cannot be renewed then indicate the terms and condition for its termination. The Business Agreement should also include the rules of the contract and what will happen if either of the parties involved violates the agreement or the procedure to be followed if one party wishes to terminate the contract.
Using Business Agreement Templates
Another very important thing that should be included on the Business Agreement is the description of the goods. Describe the products and services clearly, showing the right quantity and price of each product. This is very crucial since it is the main reason as to why the parties involved are going into contract. So all the details concerning the products and services should be included no matter how small they are. It is also important for record keeping so that the supplier can know the goods they supplied and the buyer can keep track of the products bought.
The Business Agreement has to include the payment details and dates. All the payment details should be indicated clearly so that there will be no confusion later. This is important to ensure that the seller gets the agreed payment on the agreed date. It should outline the amount of money the buyer should pay to the seller in case of a delayed payment. The delay penalty should be discussed and agreed by the two parties so that it is fair on the both sides and each party is satisfied.
Free Business Agreement Templates
Damage and penalty provision should also be part of the Business Agreement so that each party involved knows who is responsible for the damages of the goods before they are delivered to the buyer. Complaint and dispute resolution process is another thing that should be outlined in the contract and also discuss the terms and condition for the termination of the Business Agreement.