Sub- Letter Describing Distributorship Agreement between us
Letter is being written to you for asking the confirmation from your side for the agreement of distributorship between us. The agreement is made dated 3/10/2011.
The purpose of the agreement is to appoint us as the distributor of your products in the local market to the retailers. As per the agreement you, we will be provided with the products of your company with the credit periods of 90 days. We suppose to distribute all these products to different retail shops in the local market.
As per the agreement you will allow us to charge the margin of 5% on the selling price of your products. We will also be subject to some incentives if we are able to distribute over the target amount.
During the process we will also have to bear the transportation cost for the distribution which will be reimbursed by you after the distribution of the products at the end of every month.
If you are content with all these terms and clauses of the agreement then I would like to ask you to sign this letter and send it back to us for the confirmation of your nod.