What is distributor law?
Distribution law or the Nernst’s distribution law gives a generalisation which governs the distribution of a solute between two non miscible solvents. This law is only valid if the solute is in the same molecular form in both the solvents. Sometimes the solute dissociates or associates in the solvent.
Why do you want to be a distributor?
A distributor becomes the sales arm of your company for which you do not have to pay. By using distribution, you are able to reach a mass audience of retail outlets without having to invest any of your own company money into developing and maintaining that business network.
How do I protect my distributor?
The only protection a distributor has is contractual: what terms in your contract protect you from termination and for how long; and what payments may be due upon termination. Clearly, the longer the contract, the better. Some contracts provide for an “endless” term so long as certain sales levels are maintained.
What are the requirements to become a distributor?
Basic Requirements for Being a Distributor in India
- Storage. Storage space a basic requirement for a distribution.
- Transportation. A reliable method of distribution is another pre-requisite for distributors in India.
- Customers.
- Contract.
- Licensing.
- Application.
What are the advantages of being a distributor?
The main advantage of using a distributor is simplicity. Distributors enable you to access international markets while avoiding logistics issues and many trade-related risks. The distributor is usually responsible for the shipment of goods, and the accompanying customs formalities and paperwork.
How to get in contact with a wholesale distributor?
Have a Productive First Contact With a Wholesale Supplier Begin contacting wholesale distributors, either using the list you got from the manufacturer, phonebook listings, or a wholesale directory You want to find out:
How can I find a distributor for my business?
Trade magazines are a wealth of information about businesses and relationships in your industry. Nearly every advertiser in the magazine will be a product manufacturer or distributor looking to reach you, and a single issue of a trade magazine can provide the names of dozens of wholesalers or small manufacturers.
What happens when you buy from a wholesaler?
When you first start, you’ll be buying from the smaller wholesalers at higher prices. As your volume increases, you’ll be able to get better pricing and/or move up the supply ladder to a bigger wholesaler.
How does a distributor work in an agreement?
In distributor agreements, you sell your products or services to the distributor, who then sells them on to their customer, adding a margin to cover the distributor’s own costs and profit.
Can a distributor impose price maintenance on a distributor?
Imposing resale price maintenance on a distributor is unlawful in most countries, but by selling through an agent the business can retain the freedom to safeguard its own prices for sale. If the business wants to restrict the agent’s freedom to choose the customers that they deal with.
Can a distributor be charged under the Bribery Act?
Bribery and corruption liability under the Bribery Act 2010 is one of the most important risks to assess and minimise when appointing agents or distributor. Failure to do so could lead to prosecution in the UK for the UK exporter and its directors. This article gives bribery act advice for UK exporters.
Which is better an agent or a distributor?
Generally, fewer competition law issues arise with agent agreements than with distributor agreements. Where the business wants to retain direct contact with its customer. For example, where it offers bespoke design work or highly specialised after-sales service that can only be effectively provided by the business itself.