Puerto Rico Reseller Distribution Agreement
Description
How to fill out Reseller Distribution Agreement?
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FAQ
Essentially, in a model, retailers sell to consumers, wholesalers sell to retailers, and distributors sell to wholesalers. Retailers buy small quantities of select items from a distributor or wholesaler. Wholesalers buy a large quantity and variety of products directly from the distributor.
Similar to a distributor, a reseller sells your products to customers. However, the main difference between a distributor and reseller is the lack of warehousing. Resellers won't purchase or hold your inventory.
Distributors consist of order takers, and generally lack real product knowledge. On the other hand, there are VADs, which provide a broad range of products, stock inventory, operate their own warehouse(s), supply credit to re-sellers, and have dedicated sales teams trained in understanding your products.
A distributor does imply a closer relationship with the manufacturer. Essentially, a distributer buys direct from a manufacturer and sells to either resellers or, sometimes, the end-user directly. A reseller usually buys from a distributor or a wholesaler to get the best deal and sells directly to the end-user.
Act 75 prohibits termination or non-renewal of a dealer's contract without ?just cause,? regardless of any contract provision permitting termination.
Types of resellers Wholesaler. A wholesaler is usually a big organization that offers to buy a company's product and sell it to retail outlets. ... Retailer. The retailer buys products from the wholesaler or distributor and sells those products in small quantities to customers. ... Distributor.
Puerto Rico's Act 75 of June 24, 1964 was enacted to protect Puerto Rican distributors or dealers from arbitrary terminations to a distribution agreement.
A retailer owns an established business, either a brick-and-mortar store or an online store, and buys products and sells them directly to the end user. A reseller, on the other hand, is often the ?middle man.? Resellers buy stock and sell products however they see fit.