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Sales Agent Commission Agreement
"I need a Sales Agent Commission Agreement for our Singapore tech company, appointing a sales agent to sell our software products in Malaysia and Indonesia, with a tiered commission structure starting at 10% for the first $100,000 in sales and increasing to 15% thereafter, to commence from March 2025."
1. Parties: Identification of Principal and Sales Agent, including full legal names and registered addresses
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Key terms used throughout the agreement
4. Appointment and Territory: Scope of agent's appointment and designated geographical area
5. Commission Structure: Detailed breakdown of commission rates and calculation methods
6. Payment Terms: Timeline and method of commission payments
7. Agent's Obligations: Key responsibilities and performance requirements
8. Principal's Obligations: Support and resources to be provided by the principal
9. Term and Termination: Duration of agreement and termination provisions
10. Governing Law: Specification of Singapore law as governing law
1. Non-Compete Clause: Restrictions on competitive activities - used when protecting market share in specific territories
2. Training and Support: Details of training provided by principal - used when significant product knowledge is required
3. Performance Targets: Specific sales targets and KPIs - used when performance measurement is critical
4. Insurance Requirements: Required insurance coverage - used when agent handles valuable products or high-risk activities
5. Sub-agents: Rules regarding appointment of sub-agents - used when sub-agents might be needed
1. Schedule 1: Commission Rates: Detailed commission structure and calculations
2. Schedule 2: Territory Definition: Detailed description of geographical territory
3. Schedule 3: Products/Services: List of products or services covered by the agreement
4. Schedule 4: Performance Metrics: Detailed KPIs and measurement criteria
5. Appendix A: Reporting Templates: Standard forms for sales reporting
6. Appendix B: Operating Procedures: Detailed operational guidelines and procedures
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