Sales Partnership Agreement for Australia

Sales Partnership Agreement Template for Australia

This comprehensive legal document, governed by Australian law, establishes and regulates a sales partnership between two or more parties. It defines the terms and conditions under which the partners will collaborate to sell products or services, including territory rights, commission structures, performance expectations, and mutual obligations. The agreement incorporates key provisions required under Australian partnership law and commercial regulations, ensuring compliance with both federal and state-specific requirements while protecting the interests of all parties involved in the sales relationship.

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What is a Sales Partnership Agreement?

The Sales Partnership Agreement is a crucial legal instrument used when businesses in Australia wish to formalize a collaborative sales arrangement. This document is particularly relevant when companies want to expand their market reach, combine sales capabilities, or establish strategic distribution partnerships. It addresses key aspects such as territory definitions, commission structures, performance metrics, and operational procedures, all while ensuring compliance with Australian partnership law, consumer protection legislation, and relevant state-specific regulations. The agreement is designed to provide clear guidance on partner responsibilities, protect intellectual property, maintain confidentiality, and establish dispute resolution mechanisms. It's especially valuable for businesses looking to scale their sales operations through strategic partnerships without establishing a formal joint venture or new legal entity.

What sections should be included in a Sales Partnership Agreement?

1. Parties: Identifies and provides full legal details of all parties entering into the agreement

2. Background: Sets out the context and purpose of the partnership arrangement

3. Definitions: Defines key terms used throughout the agreement

4. Partnership Structure: Outlines the nature of the partnership, ownership structure, and capital contributions

5. Term and Commencement: Specifies the duration of the agreement and when it becomes effective

6. Roles and Responsibilities: Details the specific duties and obligations of each partner

7. Sales Territory and Products: Defines the geographical area and products/services covered by the partnership

8. Revenue Sharing and Commission Structure: Specifies how revenue, profits, and commissions will be divided between partners

9. Operating Procedures: Establishes day-to-day operational protocols and decision-making processes

10. Reporting and Accounting: Sets out financial reporting requirements and accounting procedures

11. Intellectual Property: Addresses ownership and usage rights of trademarks, patents, and other IP

12. Confidentiality: Establishes obligations regarding confidential information

13. Non-Compete and Non-Solicitation: Outlines restrictions on competitive activities and customer solicitation

14. Termination: Details circumstances and procedures for ending the partnership

15. Dispute Resolution: Establishes procedures for resolving disagreements

16. General Provisions: Contains standard legal clauses including governing law, notices, and amendments

What sections are optional to include in a Sales Partnership Agreement?

1. Marketing and Branding: Specifies guidelines for marketing activities and brand usage - include when partners will conduct joint marketing

2. Training and Support: Details training obligations and support services - include when one partner will provide training to the other

3. Insurance Requirements: Specifies required insurance coverage - include when specific insurance requirements are necessary

4. Performance Metrics: Establishes KPIs and performance evaluation criteria - include when specific performance targets are crucial

5. Exit Strategy: Details procedures for partner buyout or sale - include when partners want pre-agreed exit mechanisms

6. International Operations: Addresses cross-border activities and compliance - include for international partnerships

7. Data Protection: Specific provisions for handling customer data - include when dealing with significant personal data

8. Force Majeure: Addresses unforeseen circumstances preventing performance - include when specific risk allocation is needed

What schedules should be included in a Sales Partnership Agreement?

1. Schedule 1 - Product List: Detailed list of products or services covered by the partnership

2. Schedule 2 - Territory Map: Detailed description or map of the sales territory

3. Schedule 3 - Commission Structure: Detailed breakdown of commission rates and calculation methods

4. Schedule 4 - Sales Targets: Specific sales targets and performance metrics

5. Schedule 5 - Operating Procedures Manual: Detailed procedures for day-to-day operations

6. Schedule 6 - Approved Marketing Materials: Templates and guidelines for marketing communications

7. Appendix A - Contact Details: Key contact information for all parties and authorized representatives

8. Appendix B - Required Insurance Certificates: Copies of insurance policies and certificates

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Australia

Publisher

Genie AI

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Retail

Technology

Manufacturing

Professional Services

Healthcare

Consumer Goods

Industrial Equipment

Software and IT

Telecommunications

Financial Services

Automotive

Construction

Agriculture

Energy

Education

Relevant Teams

Sales

Legal

Business Development

Commercial

Operations

Partnership Management

Contract Administration

Distribution

Channel Management

Executive Leadership

Relevant Roles

Chief Executive Officer

Sales Director

Business Development Manager

Partnership Manager

Sales Operations Manager

Channel Manager

Legal Counsel

Commercial Director

Regional Sales Manager

Chief Commercial Officer

Contract Manager

Territory Manager

Distribution Manager

Sales Strategy Manager

Chief Operating Officer

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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