My company is proposing to act as an independent contractor to another company as sales consultants. I have proposed that I will put together an agreement that specifies our relationship for them to consider.
To our knowledge, the company or possibly companies we are dealing with are owned by a single person. He has designed developed and is now commencing manufacture (in China) of a lightweight solar panel that we believe will have a market in Australia.
He also owns a company that markets and sells the supply and install of existing standard solar panels from other companies. Whether this supply and install company is legally the single entity for all facets of this product we do not know. However, our negotiations are through the supply and install company.
As contractors we will be responsible for our own expenses, sourcing our own leads, negotiating with them and closing the deals. We will run as an independent business under no instruction from them. We will act as their representatives under their name in these dealings and all monies will be paid directly to them. Some kind of authority for our company and all its directors and representatives to represent them need to be in this agreement.
They, on the other hand, will be responsible for all post sale dealings with customers including the supply, installation, repairs, and warranty of the systems. Most importantly they need to guarantee us in this agreement that all installations will comply with all Australian laws and standards including that of the Clean Energy Council (CEC).
They also must commit to promptly replying to and the completion of rectifying any customer complaints or incomplete work.
We must be supplied with a copy of system installers Mandatory Written Statement which is part of all Small -Scale Technology (STC) certificate applications.
They will also be required to supply us with all sample, technical data and system specification needed as well as product training to all our staff.
Our selling territory is unlimited geographically or demographically. (we do not want to be restricted in any way with how or where we sell.
They will be required to pay us in full within 30 days of receiving any payments, including deposits, from our customers.
Should the deposit required by them for a job to be ordered be 20%, then 20% of our margin/commission (what should we call it? See next paragraph) will be paid within 3 business days of the start of the next month.
Our commission/margin will be determined solely by us and we are under no obligation to explain how it is calculated. It will be added to the “wholesale pricing” that we receive from the company.
The wholesale pricing must be just that, a wholesale price for the complete product package. Whilst all installations can have unique circumstances, the standard price list should be based on either commercial or residential property, its geographical location, the height of the building, access, roof material, size of system and distance from the connection.
We need 30 business days notice of any change to pricing. This agreement can be terminated by either party with 30 days notice. All monies owing to us are obligated to be paid even post termination.
We give no warranty as to how many we sell if any at all. Our methods remain our IP and we are under no obligation to justify them. We will however always act legally and professionally and represent their product in a positive light at all times.
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