Sales Rep Contract for New Zealand

Sales Rep Contract Template for New Zealand

A comprehensive employment agreement specifically designed for sales representatives in New Zealand, compliant with New Zealand employment law including the Employment Relations Act 2000. The agreement covers essential employment terms, sales-specific provisions such as territory allocation, commission structures, and performance targets, while also addressing confidentiality, intellectual property rights, and post-employment obligations. It includes detailed provisions for remuneration, expense policies, and resource allocation, tailored to meet the unique requirements of sales roles while ensuring compliance with New Zealand's legal framework.

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What is a Sales Rep Contract?

This document is essential for businesses operating in New Zealand that employ sales representatives, whether in field sales, inside sales, or account management roles. The Sales Rep Contract establishes the formal employment relationship while addressing the unique aspects of sales positions, including territory rights, commission structures, and performance expectations. It ensures compliance with New Zealand employment legislation, particularly the Employment Relations Act 2000, Fair Trading Act 1986, and relevant employment standards. The agreement is crucial for protecting both employer and employee interests, clearly defining sales targets, compensation mechanisms, and post-employment obligations while maintaining alignment with New Zealand's good faith employment principles.

What sections should be included in a Sales Rep Contract?

1. Parties: Identifies the employer and sales representative, including their full legal names and addresses

2. Background: Sets out the context of the agreement, including the nature of the employer's business and the sales representative role

3. Definitions: Defines key terms used throughout the agreement, including 'Territory', 'Products', 'Commission', etc.

4. Appointment and Term: Establishes the employment relationship, position title, and duration (fixed-term or permanent)

5. Duties and Responsibilities: Details the sales representative's key responsibilities, reporting requirements, and performance standards

6. Territory and Exclusivity: Defines the geographic area or customer segment the representative will cover and any exclusivity arrangements

7. Remuneration: Outlines base salary, commission structure, and other financial benefits

8. Expenses and Resources: Details reimbursable expenses and company-provided resources (car, phone, laptop, etc.)

9. Hours of Work: Specifies working hours, flexibility requirements, and time recording obligations

10. Leave Entitlements: Details annual leave, sick leave, and other leave entitlements as per NZ law

11. Confidentiality: Protects company's confidential information and trade secrets

12. Intellectual Property: Addresses ownership of IP created during employment

13. Termination: Sets out grounds and process for ending the employment relationship

14. Post-Employment Obligations: Includes non-compete and non-solicitation provisions

15. General Provisions: Standard contract clauses including governing law, entire agreement, and amendments

What sections are optional to include in a Sales Rep Contract?

1. Vehicle Provisions: Include when company vehicle is provided, detailing usage rules and maintenance obligations

2. International Travel: Include for roles requiring overseas travel, specifying arrangements and allowances

3. Team Management: Include if the role involves managing other sales staff

4. Product Training: Include detailed training requirements for complex products or services

5. Health and Safety: Expanded section for roles with specific safety risks or requirements

6. Remote Working: Include for positions allowing work from home or remote arrangements

7. KPI Requirements: Detailed performance metrics section for heavily target-driven roles

What schedules should be included in a Sales Rep Contract?

1. Schedule 1 - Territory Map: Detailed map or description of the sales territory

2. Schedule 2 - Commission Structure: Detailed breakdown of commission calculations and payment terms

3. Schedule 3 - Product List: List of products/services the representative is authorized to sell

4. Schedule 4 - Expense Policy: Detailed policy on claimable expenses and processes

5. Schedule 5 - Company Vehicle Policy: If applicable, detailed rules regarding company vehicle use

6. Schedule 6 - Sales Targets: Specific performance targets and measurement criteria

7. Appendix A - Employee Handbook: Reference to or incorporation of relevant company policies

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

New Zealand

Publisher

Genie AI

Document Type

Sales Contract

Sector

Sales

Cost

Free to use
Clauses
Relevant Industries

Retail

Technology

Manufacturing

Pharmaceuticals

Consumer Goods

Professional Services

Real Estate

Financial Services

Telecommunications

Industrial Equipment

Automotive

Construction Materials

Medical Devices

Software

Food and Beverage

Relevant Teams

Sales

Business Development

Commercial

Account Management

Customer Success

Revenue

Field Operations

Product Sales

Direct Sales

Regional Sales

National Sales

Trade Sales

Channel Sales

Relevant Roles

Sales Representative

Account Manager

Business Development Manager

Territory Manager

Regional Sales Manager

Inside Sales Representative

Field Sales Executive

Sales Consultant

Product Specialist

Technical Sales Representative

Key Account Manager

Sales Executive

Commercial Representative

Trade Representative

Direct Sales Representative

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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