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Sales Commission Agreement
"I need a Sales Commission Agreement for a software company hiring independent sales representatives in Ireland, with a tiered commission structure starting from March 2025, including specific provisions for remote selling and cloud-based product demonstrations."
1. Parties: Identification of the Principal/Company and the Sales Agent/Representative
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Key terms used throughout the agreement including 'Commission', 'Territory', 'Products', 'Sales', 'Customers'
4. Appointment and Scope: Terms of appointment, exclusivity/non-exclusivity, territory definition, and products covered
5. Commission Structure: Detailed explanation of commission rates, calculation methods, and qualifying sales
6. Payment Terms: Commission payment schedule, currency, payment methods, and handling of disputed amounts
7. Sales Targets and Performance: Minimum performance requirements, sales quotas, and review periods
8. Obligations of the Principal: Company's responsibilities including provision of materials, support, and training
9. Obligations of the Agent: Agent's duties, reporting requirements, and professional conduct expectations
10. Term and Termination: Duration of agreement, renewal terms, and grounds for termination
11. Post-Termination: Rights and obligations after termination, including commission on pending sales
12. Confidentiality: Protection of confidential information and trade secrets
13. General Provisions: Standard clauses including governing law, notices, entire agreement, and amendments
1. Employment Status: Required when agent is an employee rather than independent contractor, addressing employment rights and benefits
2. Intellectual Property: Include when agent will create or handle IP rights or branded materials
3. Data Protection: Required when agent will process customer personal data, ensuring GDPR compliance
4. Non-Compete: Optional restrictions on agent's activities during and after the agreement
5. Insurance: Include when requiring agent to maintain specific insurance coverage
6. International Sales: Required for cross-border sales, addressing currency, tax, and regulatory requirements
7. Expenses: Include when agent can claim business expenses from principal
8. Training Requirements: Include when specific training or certifications are required
9. Sub-Agents: Include when agent is permitted to appoint sub-agents
1. Schedule 1 - Commission Rates: Detailed breakdown of commission rates for different products/services
2. Schedule 2 - Territory Definition: Detailed description or map of assigned sales territory
3. Schedule 3 - Product List: Comprehensive list of products/services covered by the agreement
4. Schedule 4 - Sales Targets: Specific sales targets and performance metrics
5. Schedule 5 - Reporting Templates: Standard forms for sales reports and commission calculations
6. Appendix A - Company Policies: Relevant company policies agent must comply with
7. Appendix B - Training Requirements: Required training programs and certifications
Authors
Technology & Software
Financial Services
Real Estate
Manufacturing
Pharmaceutical
Consumer Goods
Professional Services
Telecommunications
Insurance
Automotive
Industrial Equipment
Medical Devices
Retail
Media & Entertainment
Sales
Human Resources
Legal
Finance
Sales Operations
Revenue Operations
Compensation
Business Development
Commercial Operations
Compliance
Sales Director
Sales Manager
Account Executive
Business Development Manager
Sales Representative
Channel Manager
Regional Sales Manager
Commission Administrator
Sales Operations Manager
Chief Revenue Officer
VP of Sales
Territory Manager
Inside Sales Representative
HR Director
Legal Counsel
Finance Director
Compensation Specialist
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