Hopefully you already read our Amazon Ungating Step-By-Step Guide.  In today's article we will be discussing "Terms".  We will explain what this means, where to get Terms, how to submit Terms and more!  Let's get started...

“Terms” refers to a contact between two parties.

There are two main types of “Terms” when it comes to wholesale merchandise.

One type of Terms that applies to the payment only and is known as Payment Terms.

Let’s say you loan your friend $50 and the “Terms” are to repay it when they get their paycheck next Friday; you have them sign a contract stating they absolutely WILL pay you back before 4pm next Friday. Or, let’s say your boss says every time you get a customer to sign up for a store membership you will get 25% commission that will be all paid to you on the 1st of each month, this is also essentially a payment term because it designated specifically when you will be paid and what you will be paid.

HOW PAYMENT TERMS RELATE TO WHOLESALE

For example, our company BigBrandWholesale.com requires “PIA” which means “Paid in Advance” just like most online sellers do; you pay for it today THEN we ship it. However we also offer Lay-A-Way which changes the Terms to “Net 30” or “Net 60”, which means you would have one to two months to pay off the merchandise. Additionally, we offer Financing through our site which also would adjust the payment terms to 6 months repayment time.

If you need to add terms to your contract regarding payment, you can learn how to do so in our article How to Add Payment Terms to Invoice.

Another type is of Terms the agreement between the Seller and the Buyer regarding the purchasing of merchandise; this is known as Contract Terms or Terms and Conditions.

For example, you list your old car for sale on Craigslist and a potential buyer shows up to purchase it. The Terms could be “This vehicle is sold As-Is”. This means if the buyer takes your Honda Civic drag racing on the way home today and blows the engine and the axle breaks, you will not be paying for it to be replaced. Or, this could mean you list a womens sweater for sale on eBay and the Terms say “No Returns”. So if the buyer purchases it and it doesn’t fit their 3 year old kid, oh well for them because they should have read the damn listing. Either way, these examples are two examples of Terms and part of contract terms.

HOW CONTRACT TERMS RELATE TO WHOLESALE

A typical wholesale contract will let you know what you can’t do more than what you CAN do. For example, we have a contract with C*ACH handbgs. We are allowed to purchase their merchandise but we are NOT allowed to use their company name. Why? Because C*ACH doesn’t want someone to search google for their company name and to have our wholesale company appear. Why? They sell their bags for $500+ per piece so they do not want someone buying their bags from us for $75. This would not be productive for their company or their marketing. However, they don’t mind that we sell the bags, they just use their contract to insist that we avoid using their trademark brand name. This is what we agreed to in a contract, so we must follow their rules.  If we did not agree to it in a contract we would not have to follow their rules... but equally we would not be able to purchase their products via wholesale liquidations.

If you have bought merchandise from BigBrandWholesale.com and want to download BigBrandWholesale.com’s CONTRACT TERMS document you can access it here. 

Having problems getting ungated on Amazon?  Learn the Top 5 Reasons for Amazon Ungating Rejection or read our Guide to Amazon Ungating